Israel’s 2002 Polished Exports Leap 15% To $5.2 Billion

Israeli net polished exports in 2002 totaled $5.2 billion, a 15 percent increase over the $4.5 billion polished exports during 2001. Israeli diamond imports and exports saw an increase in 2002 in most categories, signifying a better year than 2001.

Source: Israel's Diamond Controller

Polished imports in 2002 rose 34 percent from 1.8 billion in 2001 to $2.4 billion in 2002.

Net rough imports in 2002 totaled $4.4 billion, a 30 percent jump over the $3.4 billion exports in 2001 and a 17 percent increase in carats. Direct imports from De Beers however remained the same as in 2001 - $0.8 billion, a clear sign that Israeli diamantaires are buying more rough from other resources.

Rough exports in 2002 totaled $1.6 billion, a staggering 60 percent jump from the $1 billion rough exports the year before.

Udi Sheintal, the Diamond Controller at the Ministry of Industry and Commerce, notes that following the declines seen in 2001, created by the hi-tech crisis and the September 11 terrorist attacks, a recovery was witnessed from the beginning of the year. Export figures indicate good sales during the year, mostly in the traditional markets in the US, Hong Kong, Belgium and Switzerland.

As expected, the US was the main destination of polished exports in 2002, accounting for 68 percent of exports. Other main destinations were Hong Kong with 12 percent, Belgium with 6 percent and Japan with 2 percent of exports.

Another aspect of the Israeli diamond industry that saw a rise was the industry’s debt to the banks, which rose to $1.5 billion.

Danny Naveh, the Minister of Industry and Commerce, says the 2002 results show that the Israeli diamond industry is strong and resilient. He called on the leaders of the industry to invest in new technologies to help preserve Israel’s leading position as a manufacturing center.