REVENUE FROM DIAMONDS IS SET TO CONTRIBUTE US$600 MILLION TO FISCUS THIS YEAR.
The diplomats will visit four companies, Mbada, Marange Resources, Diamond Mining Corporation (DMC) and Anjin. They will also visit the ZRP Diamond Base.
Diamonds from Marange have courted controversy amid calls by civil society organisations that there is no transparency in the marketing of the gems.
Finance minister Tendai Biti has been complaining that Anjin has not been remitting money to treasury. Anjin is a joint venture between the Chinese and the Zimbabwe Defence Industries.
Biti has said despite claims that the Zimbabwe Mining Development Corporation (ZMDC) owns Anjin, the state entity had no equity in the diamond producer.
A hot-button topic in today’s diamond industry is the practice of extending credit to customers.
In several impassioned “State of the Diamond Industry” addresses, Rapaport Group Chairman Martin Rapaport said the jewelry industry cannot extend credit to customers anymore, and made clear his feelings on buying diamonds on credit (‘credit memo’).
“I’m going to blast the hell out of credit,” Rapaport said before launching into his tirade. “It makes me want to throw up.” He said that we simply cannot sell to people on credit anymore, and that diamonds at all levels of the trade must be sold to “real” buyers who actually have the money to pay for them.
“You need real people with real money,” he said. “We can’t memo our way out of the recession.”
“If you don’t have the money and are not a player we love you, but you’re not a player.”
The diamond market relies too heavily on credit to finance the jewelry sector, and hurts it when stores file for bankruptcy as happens all too frequently in today’s economy.
“Just say no to memo and encourage cash purchases”. The jewelry industry must avoid those who are not financially capable of buying stones and paying their debts.
“You don’t have money, go screw yourself. That’s the bottom line,” Rapaport said, a statement that drew a hearty round of applause from the audience.
DCLA would like to help legitimate industry members protect their money and time by limiting bad payments and default debtors. As a central hub in the Australian market, DCLA is happy to verify and give good credit information to industry members.
Diamond dealers and jewellers are also welcome to call and receive information on companies or individuals having defaulted on a payment.
Also, please note that DCLA will be closing all customer credit accounts outstanding for a period greater than 60 days.
DCLA teaches about diamond grading and diamond buying at a hands-on Diamond Workshop; register now for a 2-3 hour course before buying your diamond.
DCLA diamond experts will walk participants through the steps of grading a diamond for quality, and how to buy a diamond, during a 2-3 hour in-house workshop located at the actual DCLA Laboratory.
Call DCLA on 1300 66 3252(DCLA) to reserve your place. Spacing is very limited.
Diamond Buying workshop topics include:
•Detailed explanation and hands-on evaluation of the 4C’s of diamond grading. Participants will take part in the grading process to learn how the quality and value of a diamond are established.
•Choosing the diamond shape, size, and quality right for you
•How to shop for a diamond and questions to ask jewellers
•How to read, understand, and compare Diamond Grading Certificates when shopping
•Explanation and identification of diamond treatments, and how they affect value
•Explanation and identification of synthetic diamonds, and how they affect value
Participants will have ample opportunity to ask questions throughout the workshop.
Again, contact DCLA on 1300 66 3252(DCLA) to register and reserve your place.
