During the first six months of 2009, China’s trading volume on the Shanghai Diamond Exchange (SDE), which includes total import, export and intermember transactions, was worth $692 million, reports say. The said volume of trading has increased by 6.9 percent year-on-year.

Import of polished diamonds increased by 12.7 percent to $300 million, compared to last year. This has positioned China as the third-largest diamond consuming country in the world. During the months January to May 2009, import of polished diamonds for jewellery manufacturing amounted to $238 million, reports say.

Diamond trade is being promoted in the country since some years. The its value-added tax (VAT) was reduced from 17 percent to 4 percent three years ago, while 10 members were added to the list of 230 SDE members during the first six months of 2009. SDE is preparing to relocate to the new China Diamond Trading Center building.