A professional technical team of Guangzhou Diamond Exchange (GZDE) together with the senior rough diamond buyers opened the first Generic Public Course on Rough Diamonds from March 30th to 31st, to which the industry responded enthusiastically, says a press note from the exchange.
Image credit: Guangzhou Diamond Exchange
Currently, very few Hong Kong companies in China have rough diamond long-term supply qualifications from large diamond producers such as De Beers, ALROSA, Rio Tinto, and Dominion. To most mainland Chinese companies, rough diamonds industry is unfamiliar and mysterious.
This Rough Diamond Generic Training Course includes theoretical learning, trading experience sharing, factory visiting, and goods viewing, and has attracted diamond industry players from Beijing, Shanghai, Shenzhen, Guangzhou, etc.
The theoretical study began with explaining the geological conditions required for the formation, preservation, and production of diamonds, and pointing out the relevance between the geological origin of diamonds and emotional marketing. This course also overviewed the sales system and trade regulations of the global rough diamond industry, and explained the identification, grading, cutting and polishing of rough diamonds which is essential for trade.
Senior rough diamond buyers from the plotting, manufacturing and trading sectors in the multinational diamond trading and manufacturing companies shared their years of experience in diamond manufacturing management and rough diamond purchase from Russia and Belgium, and detailed the major international sorting system of rough diamonds, the expected quality and yield rate of each lot/type and their price trends.
One of the examples mentioned that a package of 300ct rough diamonds bought in Belgium in 2014, with an average weight at around 1.06ct and a price at USD 510/ct，finally turned out a sweet memory for the buyer with a handsome profit, impressing all the trainees.
Compared to the purchase of polished diamonds, the buyers believed that purchasing rough diamonds brings greater autonomy and leeway.
A High-tech company also took a high-definition rough diamond design instrument to the training site and demonstrated how to scan, analyze and design rough diamonds to increase their value.
The visit to the processing factory further strengthened trainees’ understanding of the design and processing of rough diamonds. The trainees witnessed how the modern factory combined the mechanized design & production with manual operation. In addition, the GZDE provided the trainees with the good viewing practices with the rough diamonds being listed for trading.
At present, Chinese companies can purchase the international rough diamond and settle foreign currency in mainland China through GZDE. After purchase, they can directly transfer the goods to bonded processing and utilize the supply chain finance services provided by GZDE to reduce the capital pressure.
GZDE will organize regular rough diamond listing and trading successively, gathering various types of rough diamonds.
It’s getting much more convenient for mainland Chinese companies to participate in the rough diamond business. Many companies have shown intense interest to step into the rough sector.
China has become the world’s second-largest diamond consuming country and the sixth largest rough diamond trading country. Guangzhou is China’s largest diamond manufacturing centre. Carrying out rough diamond display, trading and processing in Guangzhou will support the transformation and upgrading of the Chinese diamond industry, and optimize the global diamond industry value chain with the “Belt and Road” initiative, bringing a new perspective to the global diamond industry.