|
|
Antwerp
By Marc Goldstein
The inaugural Rough Diamond Day, launched by the Antwerp Diamond Kring Exchange and held November 6 in the Kring’s hall, is being hailed as a hoped-for miracle in jump-starting business. That is more than welcome news during these years of a slowly healing global economy. The one-day event attracted 37 exhibitors and 1,500 visitors. Among the group were members of the Kring, the three other Antwerp diamond bourses, the World Federation of Diamond Bourses (WFDB) and, of course, their clients and customers. Freddy Inzlicht, in his capacity as president of the Antwerp Diamond Kring, was delighted at the response. “The reaction was unanimous,” he said. “Even those who didn’t have a booth at our trade fair were supporting us when they realized the business potential that was being revealed. Ravi Bhansali of Rosy Blue said to me that next time, he definitely wanted to be an exhibitor. Natty Wien of W. Intercontinental, who did exhibit this year, said that his partner, Claude Taché, would absolutely participate in the next edition. Chaim Aftergut of Aftergut N & Zonen, who also exhibited, was ready to sign on for the next event as well. You name it, you had it. The reaction was thrilling as well as overwhelming.”
The event organizers explained that the idea for the Rough Diamond Day originated with their realization that a specific venue was needed in order to bring together the people who embody the rough business. As a business that controls 84 percent of the world trade in rough, it represents the strongest sector of the diamond industry in Antwerp. Obviously, hall trading is more beneficial to companies, who have the opportunity to sell direct to customers, than to brokers, who usually serve as the middlemen between companies and customers. Even so, attending brokers also were impressed by the event. Broker Naftali Kahan said: “I made limited sales, but about four times more people saw my goods than if I had to go around to their offices. Buyers were queuing up to see my goods. It was very instructive and constructive and I’m looking forward to participating again.” Kahan added that “It was nice to see the Kring Hall come alive. Unlike the polished, rough sales require expertise and experience. Not everybody sees the same stones inside of a rough diamond. So it makes perfect sense for this kind of trade to return to the trading halls.”
Ramesh Patel of Mishal NV offered his impression. “For us exhibitors, the day was fantastic. It was like in the 1980s when all business was being done in the exchange halls. People were there and they had the opportunity to buy — getting together with suppliers as they would in Hong Kong or in Vegas. However, this time it was for rough. We feel there’s really room for sustainable business as long as the buyers continue to come to Antwerp for events like this.” When the success of the event quickly became apparent, discussion among exhibitors as well as attendees revolved around expanding the schedule for Rough Diamond Days. Patel suggested that “for a start, the Rough Days should be scheduled every quarter and then, when they get to cruise speed, they could be rescheduled every month.” He said a monthly Rough Day would indeed be a blessing for Antwerp. The organizers confirmed that Rough Days could be scheduled for a couple of days after the various sights. This would give enough time for the primary market buyers, including sightholders, to sort their goods and decide what they wanted to display at the Rough Day. The selling events would be a way of nourishing the pipeline by providing additional rough supply while speeding up the distribution process and increasing the cash flow from immediate sales.
When interviewed, attendees at the event said it was a real business day where deals were being done. But some exhibitors also wondered what was there that made people who meet everyday suddenly decide to start trading with each other as if they hadn’t met before. One explanation offered by an exhibitor was that the industry trend is for the most profitable ends of the pipeline — production and retail — to maximize their margins even further. Producers do so by adding more tenders, and retailers by seeking more direct access to rough. Consequently, the rough available to the medium and smaller manufacturing and trading companies is shrinking. Events such as Rough Diamond Days just might be a way to help the available rough circulate faster in order to find those who need it most.Article from the Rapaport Magazine - December 2014. To subscribe click here.
|
|
|
|