Zimbabwe Should Seek Technical Help From AWDC, Says Resources Body
March 17, 14
(IDEX Online News) – Zimbabwe should seek technical help from the Antwerp World Diamond Centre (AWDC) in a bid to add value to its diamond resources, according to the country's Centre for Natural Resource Governance (CNRG).
The comments follow two tenders of diamonds held in December and February in Antwerp from the Marange deposits.
“A strategic plan should be drawn with the aim of making Zimbabwe a regional centre for cutting and polishing diamonds in central and southern Africa, say by 2020,” the body said.
“Since about 57 percent of rough diamonds in the global supply come from southern Africa, Zimbabwe can also bank on regional supplies for a robust cutting and polishing industry.”
“The Antwerp World Diamond Centre ought to help sort, clean, cut and polish some of its diamonds locally. CNRG recommends that Zimbabwe asks for technical support and joint venture partnerships with Antwerp based diamantaires in the cutting and polishing industry.”
The assistance from the AWDC would create both jobs and revenue for Zimbabwe.
The CNRG estimates that Zimbabwe could create more than 200,000 jobs and generate in excess of $8 billion in revenues annually if a large part of the country's rough stones were cut and polished locally.
The first tender of Marange diamonds last December raised $10.7 million from the sale of almost 278,000 carats, with an average price per carat of $38.5 per carat. The second tender saw sales of $69 million from the sale of around 867,000 carats and an average price per carat of almost $80 per carat.
The increase in the price per carat was attributed to the decision to clean a proportion of the diamonds, a move which resulted in some categories being upgraded to higher value after the cleaning process.
AWDC CEO Ari Epstein last week told a parliamentary hearing on the future economic development of Zimbabwe in Harare: “We have created a break-through by opening up the market for Marange goods and creating real added value in a fully transparent manner. We are now willing and able to help Zimbabwe to develop further, by sharing our expertise and knowledge on how the country can yield more benefits from its resources,” he told Parliament.
"The AWDC presented a draft memorandum of understanding to the government in order to embark on a joint long-term relationship where technical assistance, knowledge transfer and common value creation are key.
“We want to help build dreams, but we are not here to build a fantasy that is bound to fail. We are in it for the long run and that means taking a step-by-step approach,” he said.