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Diamond cutters in Mt Hampden, Harare

Lovemore Chikova in ANTWERP, Belgium
THE setting up of a fully-fledged diamond auctioning centre in Zimbabwe will require the adoption of appropriate technology as a main priority among other requirements. A visit by a Zimbabwean delegation to Antwerp, which ended yesterday, revealed that setting up such a trading hub ‘is not a mammoth task’ although a number of things need to be aligned.

It emerged that Zimbabwe already has a number of requirements for the system to work, but what is needed is to synchronise them to ensure that they are tight and would fully serve the diamond industry well.

Zimbabwe has in the past held some auctions of diamonds at the Harare International Airport, but this was at a lower scale and were of unprocessed gems that fetched low prices.

Experts here say that the best for Zimbabwe to maximise gains from the sell of its gems is to establish a fully-fledged auctioning centre in the mold of Antwerp, a task that needs a lot of resources and commitment, but which could be achieved in the near future.

Most buyers of rough diamonds are expected to flock to Zimbabwe looking for the much-sought after Marange gems once the country establishes such a fully-fledged auctioning system that starts with the preparation of the gems for the market.

Already, the country is looking at possibilities of establishing its own diamond trading bourse to compete with 28 others operating across the five continents.

Antwerp World Diamond Centre chief executive Mr Ari Epstein said in an interview Friday that the setting up of all the systems needed to come up with a vibrant trading hub in Zimbabwe required the transfer of technology and thorough training of personnel.

He said it could take two or more years to have a person trained at Antwerp for them to grasp the basics needed in handling the diamonds up to their auctioning.

Antwerp has 17 experts who are responsible for analysing the gems by looking at their qualities and putting them in their right categories.

The monetary needs to set up such a trading centre are also high, but analysts here say that could be solved if the country conducts sales at Antwerp first and then channel the resources towards the establishment of the centre.

“We are prepared to share everything with the people of Zimbabwe in terms of assisting them with the knowledge of setting up a trading bourse,” said Mr Epstein.

“You must remember that you need to walk first before you can run. This means you need to maximise revenue first which will assist you in the future with setting up of the trading hub.”

The Antwerp diamond trading system is pretty much sophisticated, with various aspects of handling the gems being in place before the eventual auctioning takes place.

The import and export procedures have to be of high standard, with Antwerp having a division solely dedicated to that aspect and which constantly works with the Belgian arms of government responsible for trade.

The security system also needs to be well established, and at Antwerp, the gems’ security is top priority, with the AWDC working with the government to secure the four streets that border the trading hub.

A high tech laboratory, equipped with various up to date equipment is set up at Antwerp, with part of it dedicated to researching on the gems.

The polishing and cutting of the diamonds also needs state-of-the-art equipment and well trained staff.
“It is the technical side that we feel they are at the high end,” said secretary for Mines and Mining Development Professor Francis Gudyanga.

“The setting up of our own trading bourse is not an insurmountable task. Once we have the skills, the technology and the management system, we should be ready.”

Ambassador to Belgium, Mrs Margaret Muchada said for the Zimbabwean bourse to succeed, there was need for openness and the involvement of all stakeholders.

“The ministry of Finance, those dealing with customs, the private sector, the transport sector, the security sector, higher institutions of learning and the research sector must all come together for the envisaged bourse to succeed,” she said.

“Perhaps our relationship which we have established here can lead to the transfer of technology and the increase in joint ventures.”
The Zimbabwean delegation was also made up of officials from the Minerals Marketing Corporation of Zimbabwe and the Zimbabwe Mining Development Corporation.

It was familiarising with the auctioning of diamonds at the world’s biggest trading hub.
The country is expected to start sending its diamonds for auctioning at Antwerp soon, with hopes high that they would fetch more returns than what they are bringing at the moment

The gems would be exposed to more than 2 000 buyers at Antwerp.