The WFDB Newsletter reports that at the WFDB Asia Summit held at the end of June in Hong Kong, the Asian diamond bourse presidents who met with WFDB President Avi Paz and WFDB Vice President Ernest Blom spoke about steps that their respective diamond industries and governments had taken to cope with the current financial crisis.

The Bangkok Diamonds and Precious Stones Exchange stated that it had adopted a proactive strategy, which was launched during the first half of 2009 with the advent of a government supported trade drive into the Russian market. Over 30 diamond manufacturers participated in an event in Moscow in May which promoted the development and exploration of various joint ventures.

The Thai government also instituted a policy of VAT exemption on precious stones which is to take effect in the third quarter of 2009. This step is expected to encourage the flow of rough diamonds into the Thai market.

In cooperation with the Thai Gem and Jewelry Traders Association, the Bangkok Diamonds and Precious Stones Exchange organized a Bangkok Interbourses booth at the Bangkok Gem and Jewelry Trade Show in September.

In Singapore, the Diamond Exchange of Singapore (DES) has set up regular luncheon meetings and training days in order to keep its members abreast of changes and developments in the diamond industry. These occasions are used to promote information exchange and networking between the diamond bourse members as well.

Seminars disseminating information about the latest local and international jewelry and diamond trends are also held by the DES in conjunction with the Singapore Jewelers Association.

The Chinese representative reported that during the economic downturn, the Shanghai diamond bourse has benefited from the government’s economic stimulus package. Net polished diamond statistics mirrored the retail sales and GDP curve, posting a growth of 9% in comparison to the previous year.

The representative noted that the current recession has actually improved the future of diamond trading within China through the adoption of the consumption driven growth model within its own borders. Less stringent tax regulations have also paved the way for smoother trade relations.