Gem quality diamonds are unique because of their rarity, and their high cost of extraction. The raw value of uncut diamonds is substantially higher than any other finished consumer product in the world. Yet, the Canadian government decreed in November 2001 that diamonds would fall under the same rules as any other raw material. The result to the consumer is that about 75% of the 'Made in Canada' diamonds are actually only 'Mined in Canada' and cut elsewhere. The cutting could be done in India, Antwerp, Belgium; Tel Aviv, Israel; Armenia, Russia, Puerto Rico, or New York. To be fair, there are benefits and drawbacks of this ruling. Labour costs are lower elsewhere. The standard of living of diamond cutters is usually lower elsewhere, sometimes near the poverty level. More often, cutting quality in most countries will result in a diamond with less beauty or fire. But, most importantly, in casual discussion with clients' familiar with Canadian diamonds, we have found that the vast majority of consumers expect that they are buying a Canadian diamond because: 1) Of its pure origin, 2) It is cut in Canada. In many cases, it is false representation. NEXT PAGE | Disclosing 'Source Of Origin' (continued) 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24 $1,000,000 natural yellow diamond