JNA Jan/ Feb 2021

專題報道 JNA Jan/Feb 2021 | 21 are available for the trade to use in their own marketing efforts. The council is rolling out more retailer-support materials and initiatives to help boost the appeal of diamond jewellery in their markets. In a recent statement, NDC CEO David Kellie commented, “If we speak to our consumer in the language of the ‘emotional dream’ and we maximise our opportunities in many digital environments, then there are undeniably significant opportunities for future growth for natural diamonds.” Higher standards The diamond industry is also under unprecedented pressure to improve its supply chain transparency, driven by a global push for sustainability and increased consumer demand for ethical sourcing. Dvash said, “Younger consumers demand transparency, sustainability and the safeguarding of human rights. Parts of the industry are already selling their stones with full provenance and traceability information. Moving forward, the entire diamond industry will need to adopt these standards.” These new customer requirements are spurring technological innovation in the diamond trade. Research by the Gemological Institute of America (GIA) showed that 69 per cent of US bridal consumers would prefer to buy a diamond with an origin story. The GIA Diamond Origin Report enables consumers to learn more about their diamond’s journey and the positive impact it had on communities where it was mined. Blockchain technology enables greater transparency, traceability and data security. Leading blockchain technology provider Everledger partnered with Chinese online retail giant JD.com and GIA in 2020 in order to bolster transparency in online diamond purchases. Through blockchain interoperability technology, the Everledger platform synchronises the diamond grading information from GIA to JD.com 's blockchain anti-counterfeiting and tracing programme to provide customers with independently verified diamond certificates and origin information. This data will be made available to JD.com 's more than 380 million users. “No one could have predicted where 2020 would take us: Its last six months alone have produced more digital transformation than the last decade, with every transformation effort already underway finding itself accelerated, and at scale. Blockchain and artificial intelligence (AI) are at the heart of e-commerce and community,” noted Everledger CEO Leanne Kemp. GIA is also collaborating with IBM to bring AI to diamond grading. GIA President and CEO Susan Jacques remarked, “The use of AI, digital reports and blockchain are all great examples of how technology is transforming the marketplace, which has accelerated the rate of innovation and application. In 2021, we expect the trends that accelerated during the 2020 pandemic to gain speed – the continued digital transformation and the growing importance of sustainability, transparency and ethics.” Geopolitical advances The diamond industry is also witnessing fundamental shifts in its geopolitical landscape. The Abraham Accords signed by Israel with the United Arab Emirates and with Bahrain are a game changer for the Israeli diamond industry, according to Dvash, who is also the chairman of the Israel Diamond Institute (IDI). Dubai Multi Commodites Centre (DMCC) opened a representative office in the Israel Diamond Exchange (IDE) in December 2020, and IDE is scheduled to establish a presence in DMCC soon. IDE has also signed a Memorandum of Understanding with the Bahrain Bourse. The new agreements enable Israeli diamond companies to reach new markets in the Middle East and Asia, allow Israel to tap the UAE’s rough diamond market, and offer Emirati companies access to Israel’s polished diamond hub. “This will impact the global diamond industry. It is a win-win situation for all, opening up huge opportunities and new growth spots for the global diamond industry. Open borders between all of the major diamond centres will make trade freer and encourage the growth of business worldwide,” said Dvash. Meanwhile, India is enhancing its viability as a diamond trading hub. At present, international mining companies send rough diamonds to the Special Notified Zones (SNZs) for viewing – not selling, lest they be regarded as permanent entities and levied income tax in India. Miners then bring the rough back to Antwerp or Dubai before shipping them to India, adding to the final price of the material. As part of the Covid-19 relief measures, GJEPC has requested the Indian government to impose a turnover tax of no more than 0.16 per cent – the same rate as levied in Antwerp – so that mining companies can log their sales in India and eliminate the back-and-forth shipment that only balloons prices. The measure would increase India’s tax collection and reduce logistics and foreign office costs for Indian firms.