Dubai diamond trade value dazzles at $38.3bn in 2023

Dubai’s diamond industry continues its meteoric rise, solidifying its position as a global leader in both the rough and polished diamond trade.

According to the Dubai Multi Commodities Centre (DMCC), the total value of rough and polished diamonds traded in the emirate reached Dhs38.3bn in 2023, marking a 2 per cent year-on-year increase, and a five-year compound annual growth rate of 11 per cent.

This impressive growth comes despite a global decline in rough diamond prices, highlighting the strength and resilience of Dubai’s diamond market.

Polished diamonds in the spotlight

One of the most significant trends in Dubai’s diamond trade is the surging popularity of polished diamonds. In 2023, the value of polished diamonds traded in the UAE skyrocketed by 32 per cent year-on-year to a staggering Dhs16.9bn.

This surge has seen polished diamonds account for 44 per cent of the total trade value, nearly matching the traditionally dominant rough diamond segment.

This shift is further bolstered by the recent opening of a key laboratory by the Gemological Institute of America (GIA) in Dubai.

Robust rough diamond  trade

While the polished diamond segment experienced explosive growth, Dubai’s rough diamond trade remained robust.

In 2023, the UAE traded a total of $21.3bn worth of rough diamonds, showcasing strong trading volumes despite a global price decline of approximately 20 per cent.

This resilience signifies Dubai’s established position as the world’s largest rough diamond trade hub, a title it secured in 2021.

Dubai: A hub for diamond businesses

Ahmed Bin Sulayem, executive chairman and CEO of DMCC, emphasised Dubai’s growing appeal to all segments of the diamond industry. He highlighted the emirate’s ability to maintain strong rough diamond trade volumes while simultaneously spearheading advancements in polished and lab-grown diamonds.

Bin Sulayem further stressed Dubai’s ambition to become the undisputed number-one hub for both rough and polished diamonds. He pointed to the continuous influx of major industry players drawn from traditional diamond centres, suggesting a significant shift in the global diamond landscape.

Lab-grown diamonds see growth

In addition to natural diamonds, Dubai is also fostering a thriving market for lab-grown diamonds (LGDs). The value of LGDs traded in 2023 witnessed a 10 per cent year-on-year increase, reaching Dhs1.6bn. This growth reflects Dubai’s commitment to replicating its success in natural diamonds by providing robust support for LGD traders.

Shaping the future

Dubai’s leadership in the global diamond industry extends beyond trade figures. The UAE, represented by Bin Sulayem, currently chairs the Kimberley Process (KP) for 2024. This pivotal role reflects the country’s dedication to ensuring ethical and sustainable diamond trade practices. As chair, Bin Sulayem aims to prioritise efficiency and autonomy within the KP.

Read: UAE to chair UN’s Kimberley Process in 2024

Further solidifying Dubai’s role as a diamond industry leader, the emirate will host the prestigious Dubai Diamond Week from November 11-15.

This marquee event will bring together key industry players for the KP Plenary Session, the JGT Dubai trade show, and the DMCC’s flagship Dubai Diamond Conference.