Two major announcements came out of the Dubai Multi Commodities Centre (DMCC), one dealing with the launch of International Diamond Laboratories (IDL), its new diamond certification service, and the other conveying that DMCC would establish the Dubai Pearl Exchange (DPE), an exclusive trading platform for pearls.

According to the DMCC, International Diamond Laboratories is set to become the global service provider for high-quality diamond certificates. The government-backed initiative is a direct result of the Diamond Master Plan that DMCC adopted earlier this year to further develop its services to the diamond trade.
Headquartered in Dubai, IDL will have branches in Antwerp and Mumbai. Peter Meeus, the newly appointed executive director for diamonds and coloured stones at DMCC, has been appointed the CEO of the new laboratory.
Dr David Rutledge, CEO, DMCC, said the issuing of high-quality diamond certificates had becoming increasingly significant in the industry as it generated confidence in the certified product. “This initiative by DMCC is in response to feedback from our members that the market would welcome an additional international player in this area. The diamond lab will offer value-added services to the trade and consumers in keeping with Dubai’s status as the leading diamond trade hub in the region,” he said.
Dr Rutledge added that further details about IDL and its services would be announced in the coming months.
Commented Ahmed bin Sulayem, chief operating officer of DMCC:  “Headquartered in Dubai, IDL is the only government-supported diamond laboratory with an international vocation and the first of its kind in the Middle East. We are convinced that the trade and retailers of the buoyant Middle East market will find this service a welcome resource to stimulate their business and to support consumer confidence in diamonds.”
IDL will be administered by a five-member board of directors, which comprises leading international authorities in the global diamond business and has Dr David Rutledge as chairman. The directors include Peter Gross, former head of the International Diamond & Jewelry Group of ABN-AMRO, the world’s largest financing institution to the diamond sector; and Ian White, former sales director of Diamond Trading Company (DTC), the marketing arm of De Beers.
Gross, one of the foremost authorities on financial and compliance issues in the industry, said the role of laboratories became increasingly important as the number of treated diamonds and synthetics grew.
White commented that the diamond market had become a rapidly changing environment. Certificates could help manufacturers and dealers in driving their sales. It would be an exciting challenge to assist in developing new services that do just that.
International Diamond Laboratories will be located at DMCC’s landmark Almas Tower, the 65-floor purpose-built tower dedicated to the diamond trade.  The first certificate from IDL is set to be issued in September 2007.
As regards the pearl exchange, it comes as part of DMCC’s objective to revive the UAE’s historical status as a leading destination for pearl diving and trading.
Set up under the auspices of the Diamonds and Coloured Stones Division at DMCC, the pearl exchange will serve as a platform for pearl trading from across the globe, along with auction facilities for pearl traders.
“The pearl industry, which is valued at $1billion in rough form, has witnessed a significant recovery since 2005,” said Bin Sulayem. “Pearl prices have shown a continuous upward trend, despite a 23.6 per cent rise in world pearl production which touched 1,552 tonnes in 2005. Pearls are a major ingredient in jewellery with a highly elastic consumer price range from $50 to $50,000 per pearl grain.
“The establishment of the Dubai Pearl Exchange enables the DMCC to provide a complete infrastructure for members to trade in all precious commodities.”
Tawfic Farah, executive director for diamonds and coloured stones, DMCC, said that while pearl-producing farms spanned Japan, China, Indonesia, Myanmar, Tahiti, Australia and French Polynesia, the trade and auction of pearls was conducted primarily through Hong Kong. As one of the oldest professions, pearl diving had traditional importance in the UAE and the region, and DMCC was keen on rebuilding the pearl trade to attain its historical significance.”
He added: “Already a global centre for the gold and diamond trade, Dubai’s strategic location, superior industry-specific infrastructure, international standards and best practices, as well as upcoming projects in the pearl trade, provides traders with distinct advantages. It is our mission to make the Dubai Pearl Exchange a world-class trading facility that supports the pearl industry.”
The DPE will facilitate the pearl trade through a “one-stop shop” structured, service-oriented platform, which will foster lasting professional business relationships with major players in the pearl, coloured stones and diamond industry. In addition, it will provide pearl grading services through its partnership with the Pearl Laboratory in Bahrain.
Membership in the Dubai Pearl Exchange is limited and priority will be given to DMCC-licensed companies. Members of Dubai Gems Club can trade either through the secured trading room facilities at the ISO certified Dubai Gem Certification or via the Internet with the joint venture Polygon DMCC, the jewellery industry’s largest web-based business-to-business facilitator. Created exclusively for the gems and jewellery industry, Polygon helps facilitate the connection between suppliers and buyers worldwide.  To support and advance the pearl industry, Polygon is working closely with the Dubai Pearl Exchange to compliment its initiative by developing an online component that will facilitate the trading of pearls.