THE RISE OF DUBAI AS A DIAMOND TRADING HUB: IMPACT ON THE GLOBAL TRADE, AND IMPLICATIONS FOR INDIA

Over the past few years, Dubai has rapidly become one of the world's leading diamond trading hubs. Leveraging its strategic location, state-of-the-art infrastructure, pro-business taxation policies and global connectivity, the city now rivals traditional centres such as Antwerp and Mumbai, attracting major players from across the globe. Suneeta Kaul takes an in-depth look at the city's emergence as a diamond trading powerhouse, and the implications this has for India

- Suneeta Kaul

A significant event is set to take place in Dubai between November 11, 2024, and November 15, 2024 the Dubai Diamond Week (DDW). A world-first gathering of the global diamond industry in the megapolis, the show is being organized by Dubai Multi Commodities Centre (DMCC), a commodities exchange and freetrade zone. It will feature a trifecta of key events: DMCC's Dubai Diamond Conference (DDC), the Kimberley Process (KP) Plenary Session, and the Jewellery, Gem & Technology in Dubai JGTD) trade show.

Important enough in itself, the event underscores a larger point-the full-blown emergence of Dubai as a global diamond trading hub. The rise of the city as an important diamond centre has been driven by a combination of factors, chief among them being its geographic location, top-of-the-line infrastructure, excellent connectivity, pro-business taxation policies, and a strong focus on growth.

STRATEGIC LOCATION, LOW TRADE BARRIERS DRIVING DUBAI'S GROWTH AS DIAMOND HUB

Positioned between Africa (the primary source of rough diamonds) and India (a major diamond processing centre), Dubai's location is ideal for diamond trading. This geographic advantage allows the city to serve as a natural transit point for diamonds moving between these regions, and beyond to Europe, the US, and Asia.