Santa Fe Dialogue October 29, 2011 - Morning Session Notes Jennifer Krill Larry described Native American family

member making of a necklace upon completion, putting it on the earth and let Mother Earth wear it first. This made me think about how different that this is from the current standards in the jewelry industry. We leave big pits in the earth, use chemicals, etc. The vision behind my work is to create something with intention, purpose and respect. That is when will have matched beauty with sustainability. I am here to connect the ability to honor our purpose and stop the negative impacts. Greg Valerio Pass Marc Choyt (Fair Jewelry Action/Reflective Images) Learning that this day is the first new day of the Mayan calendar makes this day even more incredible. What we have to do is think about how our impact can regenerate ecosystems on a cultural level so the economy of what we are generating creates situations where children are playing, families are in tact and the environment is healthy. We are here in this circle in order to face the greatest challenges that are facing humanity and our survival as a collective species. We need to create a parallel system where some day these communities are beautiful from our impact of buying gems, stones, and precious metals and that people who purchase jewelry know they are creating beauty in another part of the world. The cash to trash mentality has to change. We have to come together in a way that is based on connections and relationships. Soon the seven billionth person will be born on the planet. We have an incredible opportunity here to plant the seed for our childrens children. We can be the seed of a 500year plan to create a greater future. Bill Gallagher (Lori Bonn Inc.) I have a different voice and perspective from some; I come from a business background, with an analytical and problem solving perspective. My wife started a jewelry company to fund her travel. I had a personal revelation about women which allowed me to understand what a difference jewelry can make, and how much importance it can have in womens lives. That made me decide to focus on my wifes jewelry company and how to grow it in a way that we could feel good about. What could we do beyond our particular company? We knew we would have to work with others to make a change in the jewelry supply chain. Eric Braunwart (Columbia Gem House) Eric started Columbia Gem House 35 years ago. It is important to work with others to grow whatever it is you are working on. Our company works at the mining level in the US and more and more in Africa, Australia, and Pakistan, the latter of which can be problematic. When we started the company the problem

what product integrity. For example, 27% of the quartz on the market is synthetic being sold as natural. 90% of the industry does not have integrity. The initial problem we started working on was on the mining end. The conditions in the cutting and manufacturing are also problematic. The one element that I dont hear talked about enough is the consumer. If we dont have the consumer on board, we will have nothing. The consumer is who will pay for the efforts. Unless there is a major element of any plan that incorporates the consumer and the behavioral attitude they already have, the plan will fail. Christina Miller (Ethical Metalsmiths) EM primarily deals with education, and our audience is primarily studio jewelers in the craft show circuit. They are very connected to these issues because their own businesses are small, artisanal businesses, and their own business. A great concern is the fact that we have more than we really need and how to we balance the needs of business with the needs of the planet? Larry Bohlen (Green Leaf Gold) I am a dreamer, but I have a very practical, realistic side. When I worked fro NASA, I learned that information and outreach can change peoples behavior. That lead me to non-profit work. My move into business was inspired by Paul _____. The only way to solve the global problems we are facing is through business, which caused me to transition from non-profit work into business. In order to change the global economy, we need to change one sector at a time. Mining is considered one of the top 10 polluters in the US, and I had no hopes that this industry could be changed until I met Greg Valerio. Genevieve Ennis Hume (Hume Atelier) Owns a small jewelry production company with her husband that produces between 50-70 pieces per year. Because they dont want to grow the business, they recognize that they need to work with the communities that are producing the materials in order to have a greater impact globally. Started working with the Global Mercury Project. Involved with FLO in the development of Fair Trade Gold and a training center that will help educate miners an pull them into the Fair Trade system. Major concern is that the majority of miners are mining illegally. Believe strongly in community and feel like I am on the fringes of this community, but want to see what. On a larger scale, the industry players look to each other to see what is going on rather than looking outside the industry to see what advancements are possible. Would like to see a shift from do no harm to create good through community development. Christine Dhein (Revere Academy of Jewelry Arts / Green Jewelry News) Has been the assistant director and an instructor at the Revere Academy for over 13 years. She has always been obsessed with small shiny objects and started making jewelry in high school. In high school she was also voted Most likely to save the earth. It wasnt until she read Susan Kingsleys Price of Gold article in Metalsmith magazine in 2005 that she realized her two passions were in direct

contradiction with one another. In 2008 she worked with Jennifer Horning, one of the co-founders of Ethical Metalsmiths to develop the first Green Jewelry course in the US, taught at Revere. The same year she founded Green Jewelry News a free electronic newsletter designed to educate jewelers and industry members about ethical and eco-friendly studio practices, news, and issues related to ethical sourcing. She has worked with Christina Miller (EM) on the Sustainable Studio Practices Working Group, formed to offer jewelers information on best studio practices. ****Next issue of GJN**** Request help making a GJN BLOG with link to Twitter and Facebook. Maya Spaull (Fairtrade USA) Is an ethno botanist and gem hound. Worked doing fabrication for jewelers and for a gemstone and bead company. It started not to feel right. Now works for Fairtrade USA. She has a passion for making products meaningful in the market place. We will be able to effect change through consumers, the marketplace, and what people will buy. Greg Valerio (Fair Jewellery Action) Is from the UK. Started out as a campaigner and environmental activist. The poor that he was working with in Africa said we dont want charity; we need jobs. He started a jewelry company in response to the feedback he got from the poor. This gave him an insight into the connection between the land, people, and product and the harm done to people and place by small-scale mining. Relationship between CRED and Oro Verde proved the concept that fair trade mining can be done. Worked with ARM and Fair Trade to bring Fair Trade gold to market. The injustice of the situation around the small-scale gold trade it the motivator for me to be involved in all of these associations in order to create change. He recognizes the power of story to create change. The UK is now focusing on how to be the first entirely transparent Fair Trade country in the world. At the same time, we recognize that because the US spends the most on jewelry. The US has to make the same transformation in the jewelry industry, or all other countries will fail in the efforts to transform the jewelry industry. Opportunity of Story It is much easier to pull something than it is to push it. When you create a story that from the point of view of the ultimate consumer presents the ultimate opportunity and something that is engaging, then that is what creates a powerful opportunity. Selling the consumer something by romancing the opportunity. How to d we look for opportunities to frame something from the perspective of the consumer, and how do we continue to update the sales message in order to keep up with the changing perspective of the consumer? Positive hope is a greater motivator than negative guilt. A positive and compelling story is going to create the greatest change. In order to bring people on board, the concept has to be proven and relationship between business and non-profits

has to be established. Novelty and Transformation are compelling stories. This also has to include a compelling action item. You dont want to exhaust the story before people can engage with it in a tangible way. What is really compelling is novelty. What is new is more newsworthy than content. Transformation is also compelling If you can show a community that was horrible that was transformed by positive industry Clarifying the Scope of the Problem What is scalable and realistic? What are the problems that we can grapple with? Where are the unique niches where we can get in and leverage great differences? What is our best potential? If you move the right pebble on top of a mountain, you can change the course of a great river. If we dont market this even before it exists business will not go in the right direction. When the demand is there, then the money will be there to support the demand. In the UK, they were talking about Fair Trade Gold in the market for years before they were able to deliver it. The market had been prepped long before we were able to deliver it. Survey Results Columbia Gem House annual jewelry consumer surveys results: 5000 responses nationally 17% would go out of their way to buy jewelry that used responsible labor, environmental, etc. practices. They did not know it existed. 34% were very interested in it. They wouldnt go out of their way to get it. Those willing to pay more to get it: $25-$75K income, educated women 35-55 years. To the consumer, putting an ethical product in the store (even if it is a small percentage) it makes the company look good, even if the consumer decides to purchase the other 95%. Marketing Ideal What is the best way to get the message out to the consumer? Social media Trade media What motivates jewelry purchases? People bought it because they liked the design. All of the ethical attributes helped them to justify the purchase. Trend Analysis

Children Gifts Meaningful Unique Lasting Value Significance Meanings Stewardship Sustainability Values + Design Go for top value position first and it will always migrate down Branding Fair Trade education piece that needs to be done in the US about what these terminologies mean. Use terms that are relevant that will make the consumers and industry want to participate. Harmonize meaning of certain words Adapt message to different environments Environmentalism people in the Midwest have an aversion to this idea Stewardship a term that resonates with a Christian demographic Identify Initial Markets College towns California Towns with Whole Foods Engage small jewelers first: studio jewelers, designer/makers Women Wedding rings initial product Wedding industry Faith based - clergy Jewelry Narrative Disconnect from source, end product, consumer Reconnect the dignity of the source with the dignity of the end product. Connection from mine to customer Lifestyle identification with place and people Hope for a better future Romance the source of the mining, cutting Make it really simple to understand what happens when you buy it

e.g. Toms Shoes, Feedbag Integrated Model Product, people, place (Plan for once mine is gone; environment cared for in a way that land continues to be able to support the people who live in that place.) Standard Narrative Love, Romance, Appreciation Industry reaction is that introducing and ethical product makes the rest of the products look good. Starbucks rebuttal has been enough to convince large companies to take on a product with an ethical story. Fair Trade Price Points High-end gemstones no noticeable difference in prince Low-end gemstones the cost is in the labor, so fair trade is going to be much more expensive than a standard stone. Gold standard market price. Fairtrade Gold offers a 10-15% premium. Gemstones volatile value, 98% mined by artesanal miners Conditions/Pay for Miners Relative Values Wages Infrastructure Health Care Schooling Child Labor Summary of the Morning Discussion Consumer will drive change Identify consumer market sector to focus on in order to create greatest change Bridal Gift Create a strategy Gold has the greatest structure in place Momentum Proven model Starting point Discussion of integration of environmental aspect into story, process, product Identify opportunities