Dubai Diamond Trade Sharply Jumped in 2016

Dubai: The Dubai Diamond Exchange (DDE) gained 268 new members in 2016, facilitating a sharp rise in diamond-trading activity there.

A total of 945 companies now operate in the bourse, out of the 13,500 members that the Dubai Multi Commodities Centre (DMCC) hosts in its tax-free zone, according to the DMCC’s recent annual report.

The DMCC, which includes commodities such as gold, diamonds, pearls, base metals, coffee, tea, spices and agricultural products, recruited a record 2,016 new members in total during the year. In the past decade, its membership has risen by an average of 33% annually.

“Dubai’s advantage of being located at the natural crossroads of the world’s major markets, both in terms of time zone and proximity, means we remain optimally positioned to facilitate global trade,” said DMCC chairman Ahmed Bin Sulayem. He also attributed the growth to the infrastructure and support that have been developed at the DMCC in recent years.

The diamond exchange, which operates within the DMCC structure, saw rough imports rise 16% to $6.3 billion, according to data provided to Rapaport News. By volume, the imports increased 13% to 70.1 million carats, and the average price grew 2% to $89.76 per carat.

Rough exports by value jumped 29% to $9.77 billion, with the volume of exports rising 26% to 79.9 million carats. The average price of the exports grew 3% to $122.20 per carat, showing a 36% margin over the average price of imports.

Dubai sought to strengthen its position in the diamond market last year, holding the chairmanship of the Kimberley Process and hosting 15 diamond tenders, the report stated.