De Beers, one of the world's major diamond market players, has announced the resumption of its operations in Israel after a nine-year absence, which became the latest sign of revival of the diamond industry in the country.
The announcement came just days after the Israel Diamond Exchange (IDE) signed a new agreement with the Tax Authority; this agreement eliminates the minimum income threshold and sets the taxable base as a fixed, low percentage of turnover, thereby ensuring dealers face a predictable tax burden.
This agreement, currently set for the period of 2027 - 2028, gives Israel a competitive edge over leading global diamond trading hubs that have already adopted similar turnover-based tax models. Gemstones and jewellery enter Israel duty-free, and the process for registering a foreign company in the country is quick and accessible to any foreign resident. Experts believe the implementation of this measure will enable the country to compete with Belgium and Dubai.
The agreement with the Tax Authority and the return of De Beers are the result of efforts by the Diamond Exchange leadership to revitalize this long-standing Israeli industry.
Israel's polished diamond exports totalled $625.7 million in the first half of 2026, a 22.3% decrease compared to the same period in 2025 ($804.5 million). Diamond imports totalled $531.3 million, a 12.7% decrease from the $609 million recorded in the first half of 2025.
Net exports of rough diamonds amounted to $191.2 million, down 34.6% from $292.6 million in the first half of 2025. Net exports stood at $208.3 million, a 35.8% decline from the $324.6 million recorded in the first half of 2025. The United States is the primary destination for Israeli diamond exports, followed by Hong Kong and Belgium.
India remains the leading supplier of polished diamonds imported into Israel, while rough diamonds are sourced from the UAE, Belgium, and Botswana.
Hélène Tarin, Editor-in-Chief of the Asian Bureau, Rough&Polished
