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Total trade in rough diamonds in Dubai grew 5.36 percent to $3.93 billion in 2006, the Dubai Diamond Exchange (DDE) said on Saturday. In terms of volume, trade rose 18.8 percent to 84.6 million carats with imports rising 15 percent to about 42.6 million carats and exports surging 23 percent to almost 42 million carats, the DDE said in a statement.
Dubai exported $2.37 billion worth of diamonds in 2006, while imports for the same period stood at $1.56 billion. The DDE is a subsidiary of the Dubai Multi Commodities Centre (DMCC). Dubai's major trading partners for rough diamonds include India, Europe, China and Russia. "DMCC is taking steps to boost the rough diamond trade in the emirate," Youri Steverlynck, chief executive of DDE, said in the statement.
"We will also further tighten the co-operation with diamond producing countries and look for partnerships to the benefit of all." The Dubai Chamber of Commerce and Industry has said it expected retail diamond jewellery sales in the Gulf, worth about $1.9 billion a year, to see a significant increase in 2007.
Saudi Arabia alone accounts for about three quarters of total Gulf Arab diamond jewellery purchases, thanks to surging incomes driven by strong oil price. Saudi Arabia is the world's largest exporter of oil. The DDE is the only exchange in the region to service the diamond trade from mining to retail.

Copyright Reuters, 2007

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