DMCC reduces business set-up fees by 50% to lure investment

Business Bureau, Gulf Today

DMCC – the world’s flagship Free Zone and Government of Dubai Authority on commodities trade and enterprise – announced on Saturday the launch of its latest discount campaign to encourage international diamond companies to set up operations in Dubai.

Effective immediately and valid until 30 September 2020, DMCC has reduced its business set-up fees by 50 per cent for all diamond-connected companies.

In addition, DMCC announced that new company registrations will be offered a free 12-month membership of the Dubai Diamond Exchange (DDE) – a community of over 1000 leading diamond companies in Dubai. To mark the campaign launch, DMCC lit up Burj Khalifa – the world’s tallest building – with a breath-taking visual display in celebration of Dubai’s remarkable diamond story.

His Excellency Dr Thani Bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade - UAE Ministry of Economy, said: “The trade of precious metals and stones is a critical pillar of the nation’s economic diversification agenda. The UAE Ministry of Economy is focused on catalysing a new phase of economic growth and development in the country, and supporting the trade connected to diamonds is a priority. Any initiative that connects the UAE with partners around the world and showcases the exciting business opportunities that exists here is one to be supported. DMCC should be commended for their work in this space and ambitious vision for commodities.”

Dubai is fast becoming the world’s leading diamond trading hub both in terms of value and volume after two decades of rapid growth. In 2003, the total value of rough and polished diamonds traded in the emirate was Dhs 13.2 billion ($3.6 billion), a figure that rose significantly in 2018 to Dhs91.8 billion ($25 billion). DMCC has also revealed its plan to help Dubai become a leading international trade hub for Laboratory Grown Diamonds (LGD) and coloured stones.

“Right across the supply chain, the diamond industry is passing through a period of turbulence. For many, the change that will follow is seen as an unpredictable threat. But for Dubai, it is an opportunity. Adaptability is the cornerstone of the emirate’s approach to business, and with this display on the iconic Burj Khalifa we hope to not only showcase our connection to diamonds but offer a sense of optimism, direction and leadership to the entire precious stones industry,” said Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer, DMCC.

“By reducing the cost of setting up in DMCC by record levels, we hope to remove barriers to entry and supply the type of support required by business during challenging times. Dubai is the future of diamonds, and we invite the world to join us in writing the next chapters of its remarkable story with the special stone,” he added.

Since its inception in 2002, DMCC has created the ecosystem, state-of-the-art infrastructure, facilities and services required to attract, facilitate and promote diamond trade in Dubai. The growth of the Dubai Diamond Exchange – the world’s largest diamond tender facility – alongside the success of knowledge-sharing platforms such as the flagship Dubai Diamond Conference, have placed Dubai at the heart of the region’s diamond industry.

DMCC’s previous campaign during Eid Al Fitr featured displays of the “UAE Gold Bullion Coins” highlighting the emirate’s prominent rise to one of the leading gold trading hubs in the world.

Tawhid Abdullah, Chairman, Dubai Gold and Jewellery Group, added: “Dubai has come a very long way with diamonds, and the emirate is now synonymous with the trade of this very precious stone. With the international diamond industry currently going through a period of subdued growth and growing concern, there is a real opportunity for Dubai to show the type of leadership, courage and innovation that will secure its future. DMCC deserve great credit for their role in shaping the precious metals and stones trade in Dubai and showcasing to the world that the emirate is open for business.”

DMCC has recently welcomed Lumex to the expanding community of laboratory-grown diamond businesses within the Free Zone. Lumex is the latest laboratory-grown diamond business to select Dubai and DMCC as the base of its operations in the region.

“Since its inception in 2002, DMCC has attracted, facilitated and promoted diamond trade to, and through Dubai. The emirate is fast becoming the world’s leading diamond trading hub, and DMCC will continue to support the industry through this challenging period,” said Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer of DMCC.

For his part, Vishal Mehta, Co-Founder and CEO of Lumex, stated, “We are proud to be joining DMCC, an entity that has a solid track record of building the natural diamond trade in Dubai. Through their support, we look forward to growing our laboratory-grown diamond operations across the Middle East and beyond.”  DMCC launched the Dubai Diamond Exchange, DDE, in 2004 which has welcomed over 1,000 companies from across the entire diamond supply chain since. In line with recent shifts to the traditional trade, DMCC has also actively sought to attract laboratory-grown diamonds to Dubai. In May 2019, DMCC held the first ever laboratory-grown diamond tender at the DDE, with over 50,000 carats of laboratory-grown diamonds on offer.