DMCC plays major role to boost diamonds, precious metals trade

Business Bureau, Gulf Today

DMCC, the world’s flagship Free Zone and Government of Dubai Authority on commodities trade and enterprise, hosted Sultan Bin Saeed Al Mansouri, UAE Minister of Economy, in its Almas Tower headquarters on January 9, 2020, for a briefing on DMCC’s role in facilitating, promoting and driving global trade through the emirate of Dubai.

Accompanied by a senior team from the UAE Ministry of Economy, Al Mansouri toured Almas Tower and visited both the UAE Kimberley Process (KP) Office and Dubai Diamond Exchange (DDE) - the world’s largest diamond trading floor. He also joined an industry roundtable with leading representatives of the UAE’s precious metals, diamond, and jewellery trade to discuss continued government support of the sector, and key milestones ahead. The ministerial delegation included Abdulla Al Saleh, Undersecretary for Foreign Trade, and Juma Al Kait, Assistant Undersecretary for Foreign Trade.

“The UAE is highly competitive in the gold, diamonds and precious metals trade. In fact, this is one of the most important sectors supporting the UAE’s economic diversification efforts, and the promotion of the country’s non-oil foreign trade. DMCC plays a major role in supporting and developing the Emirate’s capabilities and consolidating its position as a leading precious metals trading hub in the region,” said Al Mansouri.

“In 2018, the UAE ranked first in the Arab world and fifth globally in terms of value of exports and re-exports of precious metals. The UAE also ranked fifth globally in terms of gold exports, second globally for diamond re-exports, and first globally in jewellery re-exports” he added.

Al Mansouri also reiterated the importance of the Kimberly Process (KP), which the UAE joined since inception. The UAE has been committed to the international standards set by the KP to ensure the safe entry of diamonds to the UAE market only through trusted sources, devoid of any suspicious activity related to funding of other nations’ conflicts, in line with state values and principles.

“With the support of the UAE Ministry of Economy and other partners in government, DMCC has created an unrivalled ecosystem for the precious metals, diamond and jewellery trade. Already this year we have witnessed a surge of interest from traders across the world wanting to do business in, and through Dubai. Attracting this business to Dubai will significantly increase our contribution the UAE’s non-oil GDP in 2020,” said Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer, DMCC.

“Looking ahead, DMCC will continue to build an ever closer relationship with the international precious metals, diamond and jewellery industry, and strengthen Dubai’s reputation as a leading innovative trade hub,” he added.

The 17,000 companies based in Jumeirah Lakes Towers (JLT) and registered by DMCC, collectively contribute over 10 per cent to Dubai’s overall GDP. In 2019, DMCC was named ‘Global Free Zone of the Year’ for a record fifth consecutive year by the Financial Times’ fDi Magazine.

The visit follows the recent introduction of policy by the UAE Cabinet to enhance the country’s status as a global hub for gold and jewellery trade. Designed to enhance the competitiveness of the UAE in the regional and international gold markets, the policy is structured across three main pillars of governance, sustainability and innovation.

Meanwhile, DMCC and Chengdu Hi-Tech Industrial Development Zone, one of China’s world-class high-tech parks, have signed an MoU to boost cooperation between the UAE and China.

Sanjeev Dutta, Executive Director - Commodities and Financial Services, DMCC, and Chen Hongtao, Deputy Director of Chengdu Hitech Zone Management Committee, signed the MoU at the China-UAE Conference on Islamic Banking and Finance, CUCIBF, on Tuesday.

Sanjeev Dutta, Executive Director - Commodities and Financial Services, DMCC, said, “The Chengdu partnership will help Chinese companies enter the UAE market and build a foothold to expand trade locally and regionally. Crucially, the partnership will also serve to strengthen the increasingly important UAE-China bilateral trade ties.”

The MoU marks the start of discussions for future collaborations between the two organisations.

DMCC regulates, promotes and facilitates trade across a range of goods from gold, diamonds and precious metals to tea, food and industrial materials. Today, as home to major multinationals and start-ups, the DMCC connects more than 16,000 businesses with the world-class services, leading infrastructure and vibrant community they need to thrive and succeed. DMCC is a government entity established in 2002 to enhance commodity trade flows through Dubai. DMCC performs a range of roles, which continue to position Dubai as the preferred destination for global commodities trade as the world’s No.1 Free Zone.