The Chairman of the Israel Diamond institute (IDI) and President of IDMA, Moti Ganz, hosted Israel's new Minister of Industry, Trade and Labor Binyamin Ben-Eliezer during his first visit to Israel's Diamond Industry yesterday (26.5.09). During a meeting with leaders of the local diamond industry, the minister was briefed on the industry, which is doing its utmost to survive the effects of the global financial crisis.



In his remarks, Ganz emphasized the importance of the industry and the central role it plays in the country's economy. "Despite the crisis, we have succeeded in reducing the industry's external debt. The industry today has almost no debts to suppliers from abroad," Ganz said.

Regarding an industry-wide aid package, Ganz said: "We established a team of the country’s leading professionals and have formulated an aid package for the diamond industry. We are planning to present it to the government in the near future."



During the meeting, the minister was presented with the activities that the Israel Diamond Institute conducts on behalf of the Israeli Diamond Industry, as well as the "Together Works" strategic marketing plan. Ganz proposed that the Israeli government aid the local diamond industry with a $400 million guarantee.

The President of the Israel Diamond Exchange Avi Paz said that the industry is in need of government guarantees in order to preserve a competitive edge over foreign markets. "Right now we don't have the oxygen to compete against other industries. We need guarantees in order to maintain our position as the leader of the world diamond industry. The Israeli Diamond Industry could help to alleviate the current unemployment conditions by hiring new labor. "



Minister Ben Eliezer said: "It's clear to me that the diamond industry is essential to Israel's economy. I cannot say when the crisis will be over. But one thing is clear – it will come to an end, and the Israeli Diamond Industry will regain its rightful position."



He added: "I will be happy to examine the proposed plan you are formulating. I am planning to meet with the Treasury in the coming days. I hope that together we will see this crisis through."



During a festive luncheon, attended by top figures in the diamond industry, a discussion took place regarding the state of the industry. Among the issues discussed were compensation for diamond polisher employers, the industry’s ability to hire manpower, and the necessary efforts to reach the end the crisis when the industry is still sustainable.