Editor’s Note
This article examines the recent controversy surrounding “black market” diamonds in Vietnam, sparked by a social media livestream, and highlights systemic loopholes in the industry’s regulation, pricing, and trading practices.
In recent years, with the rapid increase in wealthy individuals, diamonds have become one of the most popular assets among Vietnamese consumers.
Since mid-May, a controversy surrounding a livestream on social media about Kim Ly jewelry store on An Duong Vuong Street has drawn widespread attention to “black market” diamonds. This has exposed numerous loopholes in the diamond industry, from the lack of strict regulation of business practices to buying, selling, and pricing procedures. Experts point out that the current market lacks sufficient information, concentrating risks on consumers.
Notably, the market was shaken by the recent arrest of a former executive of P-Lab, a subsidiary of PNJ, for allegedly smuggling 28,000 diamonds. As the investigation expands, authorities have indicted four additional defendants: representatives of Kim Ly, Ngoc Tam, and Ngoc Chau Au (NCA) stores, along with a P-Lab appraiser.
The series of reports has caused widespread panic among consumers, with many selling their diamonds to mitigate risks.
To help consumers better understand diamonds and gain knowledge to protect their assets, Dan Tri newspaper today invited Ms. Nguyen Thi Thu Huong, an asset management consultant and senior advisor at FIDT, to the “Chat Today” program.
Experts emphasized that the recent series of events are not just media blunders but manifestations of long-standing management deficiencies. The media only made the problems more prominent; the root cause is that Vietnam’s diamond market lacks a unified management mechanism for inspection, information transparency, and traceability.
One of the biggest challenges in the market is the significant information gap. Sellers hold almost all information regarding origin, quality, price, and buyback policies, while buyers are largely forced to rely on information provided by the companies themselves. Therefore, even purchasing from certified major brands does not eliminate all risks.
Under current law, companies are not prohibited from establishing inspection departments to test their own products. While this practice is not necessarily illegal, it always carries the risk of conflicts of interest.
Experts believe that without a mutual checking mechanism and independent oversight, similar incidents could easily recur at other companies. The problem lies not just with specific companies but with the system structure itself.
Experts suggest three approaches to consider:
First, enhance the independence of inspection activities. Mandate separate legal entities between sellers and inspection bodies, or for high-value transactions, encourage or require the use of certificates issued by independent international laboratories such as the Gemological Institute of America (GIA), International Gemological Institute (IGI), or HRD Antwerp (HRD).
Second, strengthening traceability is essential. Consumers need not only to know the quality of diamonds but also to have mechanisms to verify their legal origin through electronic documents and data systems.
Third, improve the professional legal framework. Currently, diamond management is fragmented across multiple agencies and stages. The market needs a more unified management mechanism for inspection, traceability, and information disclosure.
Overall, restoring market trust requires not only addressing individual cases but also building a system where verification is independent, origin is traceable, and information provided to consumers is transparent. Only then will trust stem from market mechanisms, not just the reputation of individual brands.
Source: https://dantri.com.vn/kinh-doanh/tro-chuyen-ve-kim-cuong-voi-chuyen-gia-lam-sao-de-quan-ly-thi-truong-nay-20260714163917424.htm