Israel seems to be loosing out on its diamond polishing business to India and China, where cheap labour is found. According to Udi Sheintal, the new managing director of the Israel Diamond Manufacturers Association (IsDMA),
"to maintain its competitive edge in the global diamond industry, the Israeli industry should invest heavily in training and education. More gemologists and trained professional are needed in all levels of industry and trade".

To re-iterate its contribution to the diamond business, Israel will soon be setting up its own gem lab competent like Antwerp�s HRD and Dubai�s soon to be launched IDL.

�We need to preserve Israel�s role as a global trading center that sits on the roots of a healthy and vibrant manufacturing center,� Sheintal says, adding that the Israel Technology Institute�s developments are meant to harness science for improving the Israeli diamond industry.

During the first seven months of this year exports decreased by 1.5 percent in volume to exported 1.91 million carats, but value increased by 8.2 percent rise in value to be worth $2.344 billion, as compared to 2006.