Dubai Multi Commodities Centre (DMCC) – the world’s flagship
free zone and Government of Dubai Authority on commodities trade and enterprise
– today released a special edition of its “Future of Trade” thought leadership
report series focused on lab-grown diamonds (LGDs), the rapid global rise of
this nascent technology and its transformative impact on the industry.
“As a global trade hub, Dubai offers a strategic location
for LGD innovation and trade, envisioning a future where LGDs redefine
industries and sustainability norms. Leveraging DMCC’s world-class
infrastructure and facilities coupled with our expertise in trade and advanced
technology, we are excited to see Dubai positioned as a pioneering force in
this transformative era,” he added.
The communal drive to chart a forward-looking roadmap for
the industry prompted key stakeholders to convene at the inaugural LGD
Symposium hosted by DMCC in July 2023. The LGD Symposium served as an favorable
podium for knowledge exchange, bringing together influential figures at the
forefront of the industry. The Symposium scrutinised essential drivers for the
LGD industry’s success and explored how a cost-effective technology product
could thrive in the luxury market.
Drawing from the invaluable discourse at the Symposium, the
“Future of Trade” report outlined a number of important recommendations to help
drive the evolution of the industry and shape the next phase of growth:
Acknowledge LGDs as a technology industry: LGDs should be
priced based on the technology they represent, positioning them as value-driven
rather than commoditised products.
Prioritise product innovation: Investing in research is
essential to help reduce production costs and drive innovation in diamond and
jewellery design, while also unlocking LGDs' potential in high-tech
applications.
Rethink supply chains: By transitioning to demand-led supply
chains, LGD businesses can optimise operations, reduce inventory costs and
accelerate the transformation from raw materials to finished products.
Emphasise the value of the final product: Focusing on the
value of the complete end product rather than individual components will enable
partnerships that capture the comprehensive value proposition.
Exhibit leadership and innovation: Embrace industry
leadership by leveraging intrinsic strengths, marketing LGD products based on
their unique attributes and setting benchmarks for sustainability.
DMCC has played an instrumental role in positioning Dubai as
one of the largest diamond trade hubs in the world. In line with its mandate to
enable and attract new trade flows through the Emirate, DMCC is building upon
this leading position in the diamond industry to become a global hub for the
LGD market segment.
