Israel Diamond Exchange (IDE) President Shmuel Schnitzer and members of the presidency met with a high-level delegation from De Beers who visited the bourse for a working meeting on Sunday.
The De Beers Delegation included Paul Rowley, Executive Vice President, Global Sightholder Sales; Nigel Simson, Senior Vice President, Global Sightholder Sales; Chris Donegan, Vice President, Western Hemisphere at De Beers Global Sightholder Sales; Sean Henry, Vice President Commercial; Peter Maseti, Sales Manager, South Africa; Richard Steinkamp, Sales and Marketing Manager, Namibia; Richard Whitby, Head of Finance - De Beers Midstream at De Beers Global Sightholder Sales; Howard Davis, Executive Director Sales and Client Services, DTC; and Boitumelo Nyanga, Accounts Manager, Botswana.
Representing the IDE were Yaakov Kattan, vice president; deputy presidents Hezi Blum, Arnon Yuval, Ben-Zion Shasu and Yaakov Aharon Sheli, presidency members Yoram Dvash and Meir Dalumi, and IDE General Manager Moti Besser.
Shmuel Schnitzer gave a review of the main issues that were discussed at the 36th World Diamond Congress meeting of the World Federation of Diamond Bourses in Antwerp that was held in mid-June. He emphasized the lack of profitability in the diamond sector due to the high prices of rough goods, as well as the problem of insufficient bank financing as seen by the decision of Israel’s Bank Leumi to withdraw from the industry.
The issue of synthetic diamonds was also discussed as was the paramount importance of disclosure. Another issue that was discussed by the WFDB was that of the lack of generic promotion of diamonds.
As far as the activities of the Israeli diamond sector are concerned, Shmuel Schnitzer spoke about the talks that the exchange is holding with the Tax Authority in a bid to resolve the issue; the project to create a modern and advanced manufacturing center in Ramat Gan; the sector’s moves to boost the amount of bank financing available; and the IDE’s activities regarding tradeshows and events for the promotion of rough and polished diamonds.
Meir Dalumi spoke of the investment that the IDE is making in the younger generation of diamantaires and the financial strength of Israeli diamond firms. Meanwhile, Yoram Dvash provided greater detail about the planned manufacturing center.
Yaakov Kattan spoke of the IDE’s moves to increase financing for its members and the consulting firms that it has hired to help achieve this aim. Arnon Yuval described the success of the Rough Diamond Week held at the exchange in March this year, and preparations ahead of the next such event in October. Meanwhile, Hezi Blum spoke about the financial viability of the Israeli diamond sector and the rise in turnover despite the fall in financing levels.
Paul Rowley, in his comments, spoke about the strong ongoing ties between De Beers and the Israeli diamond sector and the importance that De Beers attributes to transparency both as far as companies wishing to be future Sightholders are concerned, as well as in the preparation of companies’ financial reports. He spoke of his satisfaction as far as these issues are concerned and the speed with which they are proceeding in Israel.
He spoke of the transfer of many of the Diamond Trading Company’s operations to Botswana from London and said that the geographical distance would not be allowed to damage relations between the firm and its clients which is why such a large and high-profile delegation was visiting the diamond centers.
In conclusion, the De Beers delegation spoke of their satisfaction regarding the activities of the Israeli bourse to strengthen the country’s role as a significant global diamond center and their willingness to help this develop further by supporting measures, such as meetings aimed at increasing credit to the industry.
