The decision of whether or not to allow trading of lab-grown diamonds has been one that has been going on for five years since the ban on synthetics in 2015. Since then, a lot has changed, for one, the term synthetics has mostly been replaced by lab-grown. From De Beers, one of the largest producers of diamonds, foraying into lab-grown diamonds to FTC guidelines on lab-grown diamonds being more inclusive and many grading laboratories offering reports for lab-growns, and more importantly consumers getting more inquisitive about the same has led to a shift in mindset regarding trading lab-grown diamonds in Bharat Diamond Bourse (BDB).

We are yet to receive the consensus that was made at the Annual General Meeting that was held at Bharat Diamond Bourse (BDB), on December 28, but looks like this time, the odds will be in favour of trading lab-grown diamonds. “Suppliers have been requesting for the same to be allowed for a long time, and many natural diamond suppliers are also keen to diversify as there is demand,” said Anoop Mehta, President, BDB.

Should the votes be in favour of trading lab-grown diamonds, the BDB managing committee will be authorized to set norms to trade the same within the complex.

Some of the important rules include:

• A separate application/registration will have to be made by members desirous of trading in synthetics
• Companies dealing in both products shall ensure that the two separate entities are formed
• Identify and demarcate an office premises that they shall utilise solely for the purpose of trade in synthetic / LGDs
• Ensure that there is a clear, distinct and robust segregation process and technique implemented in their office premises
• Implementation of a separate and distinct stock/inventory management system

(Source: GJEPC)

BDB has been in talks with Natural Diamond Monitoring Committee (NDMC) regarding the same and NDMC has suggested that strict rules and regulations should be put in place to avoid mixing of natural diamonds and lab-grown diamonds. Back in 2015, when lab-growns were banned, the awareness regarding the same was nearly non-existent, but today, things have taken a 360 degree turn and the scope lab-grown diamonds present in terms of increasing G&J industry’s exports is also high.

The move if approved, will be a historic one and definitely reinstates the fact that the industry has accepted lab-grown diamonds as an alternative product, which can amass good business.