During the meeting, members of the Municipal Commission of Commerce Shanghai discussed with Israel Diamond Exchange (IDE) President Shmuel Schnitzer and board members ways to enhance cooperation between China and Israel.
A delegation of the Commission of the Shanghai Municipal Trade led by Chairman Shang Yuying visited yesterday (Monday) the IDE and met with bourse President Shmuel Schnitzer and members of the board.
During the meeting, the participants discussed ways to increase cooperation between the Israel Diamond Exchange and the Shanghai Diamond Exchange and the deepening of trade relations between the Israeli and Chinese diamond industries. Among the issues discussed were: tax and customs, synthetic diamonds, banking, bilateral commerce, and others.
Chairman Yuying commended the IDE’s security systems and said, "We want to examine the possibility of increasing the trading area of the Shanghai Diamond Exchange. We would welcome your comments and recommendations." She also said that, "In addition to expanding trading at the Shanghai Diamond Exchange, we want to promote the development of the entire Chinese diamond industry."
IDE President Shmuel Schnitzer said: "Today's meeting is an excellent continuation of the strong ties between the Shanghai Diamond Exchange and the Israel Diamond Exchange." Schnitzer said that having advised regarding the establishment of the Shanghai Diamond Exchange and having since served on the exchange’s advisory committee, he has deep knowledge of its operations: "We monitor developments in the international diamond industry and appreciate that China can influence global trade in diamonds significantly. Diamond traders from China are welcome to visit us and do business on the Stock Exchange "- he added.
Diamond Controller Shmuel Mordechai said: "In recent years, many delegations have arrived from countries and cities around the world to exchange ideas and to learn about the operations of the Israel Diamond Exchange. We need to deepen cooperation between Israel and Shanghai especially since the system of customs, control of trade and the Kimberley Process are common. This makes diamond trading easier and simpler."
IDE General Manager Moti Besser, made a comprehensive presentation of the history of the IDE and the Israel diamond industry, and also presented economic data relating to the industry over many years.
Meanwhile, Legal Committee Chairman Meir Dalumi spoke about the danger posed by synthetic diamonds to the legitimate diamond trade and called for increased supervision. "Market penetration of synthetic diamonds into the natural diamond market affects all sectors of the industry. We must increase supervision and prevent the spread of synthetic diamonds”. He also called for the strengthening of ties between the Israeli and Chinese diamond industries. "We look forward to the arrival of buyers from China to our exchange to do business."
Chairman of the Audit Committee, Carmel Lustig, spoke about competition from Chinese traders in synthetic diamonds, and stressed the need to strengthen the monitoring of the synthetic diamond trade. He also spoke about the difficulties faced in dealings with the Shanghai tax authorities.
Deputy IDE President and Chairman of the Banking and Finance Committee, Jacob Kattan, called for the opening of a branch of a Chinese bank in the Israeli exchange: "We seek to create a level playing field. Shanghai is known for its diamond trade and for having a sophisticated banking system. We can allocate you a place for a bank branch in the diamond exchange.
