Decades in making, Bharat Diamond Bourse finally set to open on 17 October
15 Oct 2010
After being delayed for years, the diamond market is all set start operations from the Bharat Diamond Bourse (BDB) in the Bandra-Kurla Complex. The inauguration of the bourse, which is said to be the largest of its kind in the world, is scheduled for 17 October.
According to Anoop Mehta, president of BDB, the complex is designed to house around 2,500 small and large diamond traders, in addition to the customs department, banks and other service providers who cater to the gems and jewellery trade.
The complex with a 6,300-sq ft trading hall has an area of 12,000 sq ft allotted to the customs department. At present, diamond exporters and trading companies have been allotted 2,400 offices ranging from 150 sq feet upto 25,000 sq feet.
In addition safe deposit vaults have also been provided within the premises to allow traders to deposit their belongings and use them whenever required.
The bourse would become fully operational by the end of this year as the traders would need some time to move out of the existing market in Panchratna building at Opera House, south Mumbai.
Mehta said when fully operational, the bourse would have an inflow of nearly 20,000 to 27,000 people daily.
He added that the space for parking at the new facility would provide for 2,200 cars at a time.
Detailing the security arrangements, Mehta added that around 2,500 cameras had been installed at the BDB, which has been built on 20 acres of land and houses 8 towers. Entry to the bourse would be restricted to only people with valid ID cards and a control room with 256 acres had been set up to keep a close watch on any suspicious movement. The complex also houses a fire station facility manned by trained servicemen.
The exchange will bring buyers, sellers, banks and customs officials under one roof to facilitate exports of polished diamonds, according to Mehta. He added that the State Bank of India and Bank of India would have a presence in the bourse.
Mehta expects global diamond companies to set up offices in the bourse and compete with the trading centres of Belgium and Israel which together account for turnover of $50 billion.
India imported 149.8 million carats of rough diamonds in 2009/10, which was up 24.5 per cent on year, and exported 59.9 million of cut and polished diamonds, up 28.3 per cent on year. Around 7 out of every 10 diamonds in the world are processed in India. India accounts for 57 per cent of the output of the global diamond processing industry.
The Indian diamond processing industry accounts for 70-75 per cent of the total diamond exports and employs 850,000 people which makes it the largest cutting centre by value and involved workforce.
Mehta said that all top 400 exporters were at the bourse which accounts for 90 per cent of the turnover.
The exchange was incorporated in 1984 with diamond exporters and state-run trading firm MMTC Ltd, earlier operating out of the city's traditional diamond hub in south Mumbai. Though the bourse was to move out to its new premises in the early 90s, it was held up by procedural delays, Mehta said.
