DUBAI: DMCC – the world’s flagship free zone and Government of Dubai Authority on commodities trade and enterprise – has released its latest Future of Trade report, a special edition focused on advancing traceability in the global diamond supply chain.
Titled ‘Provenance, Traceability and Technology’, the report emphasises the need for advanced, technology-enabled solutions to maintain the integrity and sustainability of the diamond supply chain.
Key solutions exist, including blockchain, AI, synthetic DNA, laser microjets, QR codes and physical tracers that are crucial to address current challenges linked to changing consumer behaviour, the rise of lab-grown diamonds and G7 import restrictions.
The G7’s sanctions package against Russian diamonds, which contains a blockchain-enabled traceability system implemented in September 2024, has led to significant concerns from the industry as to delays, additional costs and regulatory overreach.
To avoid the imposition of further restrictions and ensure a consist
ent global regulatory approach, DMCC’s report urges for the establishment of a working group on Traceability and Transparency to agree standards on ‘Minimum Viable Levels of Traceability and Transparency’. Such a body would leverage industry’s deep expertise, in turn, supporting efforts to advance and scale up the best available technologies for mass adoption and preserve industry self-determination in the longer term.
The publication follows DMCC’s ‘Provenance, Traceability and Technology Forum’ on the sidelines of the Kimberley Process Intersessional Meeting in May 2024, which gathered hundreds of leading diamond industry stakeholders to Dubai to discuss key challenges linked to advancing traceability solutions.
Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer of DMCC, said, ‘It is paramount that we collectively embrace technology and its increasingly critical role in the diamond industry’s evolution and supply chain. By utilising AI, blockchain and laser micro-machining, the diamond indu
stry must embrace the opportunities to enhance transparency while providing greater support to artisanal mining communities, both key objectives of the Kimberley Process.
With DMCC’s Dubai Diamond Week taking place in November and Dubai’s compound annual growth rate of 11 percent in the diamond trade over the past five years, the timely publication of our Future of Trade report on diamonds will provide valuable insights for the global community while sharing important recommendations as to how we can collectively safeguard the long-term integrity and sustainability of the diamond supply chain.’
The report and its findings will be discussed at the sixth edition of the Dubai Diamond Conference (DDC) which will take place on 11th November as part of DMCC’s dedicated ‘Dubai Diamond Week’.
Dubai Diamond Week will also see the Kimberley Process Plenary from 12th to 15th November and the Jewellery, Gems and Technology (JGT) Dubai trade fair from 12th to14th November.
The theme for this year’s DDC is “Thriving Un
der Pressure: Navigating the New Global Paradigms,” which aptly captures the essence of the challenges and transformative opportunities facing the global diamond market.
This special edition of DMCC’s Future of Trade report follows the launch of the most recent edition of its biennial flagship report in May 2024, which set out the key drivers of global trade over the next decade.
Source: Emirates News Agency