Last May, Maurice Fischler was appointed as the new President of the Beurs voor Diamanthandel, or Antwerp Diamond Bourse. At the time, he noted that the presidency of Antwerp's largest diamond bourse presented a big challenge. "The Antwerp diamond centre is in transition and coping with many structural changes,” he said. Rough&Polished caught up with the new leader of the world’s oldest and most important diamond hub to find out how it feels to ride out the pressure of change.
What is the role of the Antwerp Diamond Bourse nowadays if you consider that the modern instant communications are increasingly making people conduct their business resorting to the privacy offered by their offices?
Firstly, membership is a label of quality (moral and ethical) in the diamond world and outside.
We are regularly contacted by foreigners for information about membership (to become a member or to ask about the moral level of a supplier).
Secondly, dealing with ADB members provides protection to traders. In case of litigation we are helping to solve problems between members and sometimes non-members.
Thirdly, ADB is a forum to discuss internal and external problems in the diamond industry. We are in close contact with other bourses in Antwerp (Antwerp Federation of Diamond Bourses) and worldwide to protect and defend the interests of diamond trade in general.
What is the general trend: now that the World Federation of Diamond Bourses has 29 members is the turnover of the Antwerp Diamond Bourse increasing or decreasing?
ADB has no turnover of its own. As for the turnover in Antwerp as a diamond center, it is increasing constantly in rough and polished, except for the year 2008-2009, when the industry was in crisis.
ADB is one of the Antwerp institutions participating in the AWDC (Antwerp World Diamond Center) representing all the Antwerp organizations.
What are the advantages offered by Antwerp in diamond dealings compared with other distribution hubs in the global diamond industry?
They are numerous: the excellent infrastructure; strong finances (banks); logistics (shipping agencies); very specialized technicians (sophisticated machinery); polishers (especially for better quality stones) having a lot of experience; various high quality certificates; politically quiet country and lively city close to all big European capitals.
We are preparing “Project 2020” encompassing all the elements inherent to the diamond trade and manufacturing in Antwerp which will be presented within the next few months.
Is your bourse engaged in trading Russian rough and polished diamonds and to what extent?
Antwerp, being the biggest trade center of rough, has as such a huge activity in Russian rough (goods are re-assorted and sold to various customers), as well as in polished - most of the biggest customers of Russian diamonds are situated in Antwerp; from here goods are distributed to various markets according to their specific needs (in terms of quality, color, size and models).
What is your vision of the way the world diamond industry is to develop in the short term and in the medium term?
Balance is shifting from the U.S. and Europe to the Far East (where there is a lot of potential growth). Sales are constantly increasing.
The big short-term risk is continuing speculation, when purchases are not based solely on the value of polished but based on external elements. This is very bad for the regularity and continuity of the diamond industry.
The system of tenders is attractive for producers and dealers in short term but destructive in the long run. Reliable partners along the whole pipeline (manufacturers, wholesalers, jewelers and end consumers) will be reluctant to invest in longer term if there will be no regularity, no possibility of planning ,making programs for customers, etc…
Relationship between the supplier and customer is very important in a trade where trust and confidence are paramount.
What is your attitude towards the coming privatization of ALROSA and its IPO?
The IPO of ALROSA is excellent news for the international diamond trade and, I dare say, for Russia’s strategy to develop its resource sector.
We welcome further expansion and integration of ALROSA into the global diamond trade as they have long proven to be extremely responsible and constructive stakeholders.
It will be beneficial for the diamond market to have a publicly quoted stock of the caliber of ALROSA as that gives confidence and transparency.
In your view, is there any way out of the impasse currently blocking the Zimbabwean diamonds?
Unfortunately, we do not know all the details of the situation.
But whatever the solution, it is essential that all diamond centers reach a decision that allows all the centers - Mumbai, Dubai, Tel Aviv, and Antwerp - to compete on equal terms.
Could you say a few words about further activities of the Antwerp Diamond Bourse?
We intend to reinforce Antwerp as World Diamond Center number 1 in collaboration with other bourses, all Antwerp diamond organizations and the Antwerp Flemish and Belgian authorities.
The other goal is to organize and improve the Antwerp Diamond Fair for its third edition, make it an even more successful event than the two first editions.
Alex Shishlo, Editor in Chief of the European Bureau, Rough&Polished
