Sightholder List Reduced to 75 Companies

The Diamond Trading Company (DTC) has reduced the number of Sightholders to 75, adding six new companies. The full list has not been published, however, three companies have already announced that they are on the list.

Eurostar, Dimexon and C. Mahendra and 72, yet unknown companies, are among the successful applicants. However, it's understood that two of the new Sightholders are Israeli companies.

Following is the official announcement from the DTC:

The Diamond Trading Company (DTC), the distribution arm of the De Beers family of companies, today unveiled the final element in its new global rough diamond distribution plans. The company announced that 75 clients (Sightholders) will be offered supply through DTC London and DTC South Africa. These clients form part of a global network of 79 Sightholders that will be receiving Sights through wholly-owned and joint-venture DTC operations around the world.  

This marks a transformation in the way the DTC’s rough diamonds are sold to clients globally, with new, independent joint-venture operations – DTC Botswana and Namibia Diamond Trading Company – selling rough diamonds to clients in Botswana and Namibia for the first time. During the previous contract period (2005-07), the DTC sold all of its rough diamonds to clients entirely through DTC London which offered Sights in London and Johannesburg.

 “Throughout this process, we have been impressed by the expertise and high standards of applicant businesses, and we would like to thank all of them for their hard work and commitment” said Varda Shine, Managing Director of the DTC. “Competition for rough diamonds is now fiercer than ever, and we are confident that the diverse range of companies to which the DTC is able to offer supply are those best placed to add real value to the rough diamonds we sell.”

All applicants for the new Sightholder contract have been through a fair and robust process that assessed applicants’ relative performance against clear and objective criteria, taking into consideration the availability of rough diamonds within the particular categories applicants requested. The criteria were designed to identify those applicants that demonstrated excellence in their technical ability, their distribution and marketing ability, and the core strengths of their diamond business. Financial transparency and ethical accountability were mandatory requirements for all applicants. 

Varda Shine continued: “2007 has been a very exciting time for the DTC. We are successfully implementing a new commercial strategy. This involves restructuring our operations to help meet the wider economic goals of producer governments as well as providing our clients with the world’s best source of supply, supported by industry-leading intellectual property.”

Commenting on the announcement, Gareth Penny, Managing Director of the De Beers Group said, “I would like to congratulate the new Sightholders. They represent a world-class list of diamond companies, comprising all areas of expertise and business models: large and small, across all of the world’s trading centres, from dealers to jewellery manufacturers and retailers. Each company will play an important role in meeting the changing needs of an evolving diamond market. Building upon the significant achievements since 2000, the DTC and its Sightholders will work in even closer partnership to help secure the long-term competitive advantage of diamonds over other luxury goods categories.”

The DTC is currently investigating ways in which it can retain its valued relationships with current Sightholders that have not secured supply for the 2008-2011 contract period. The company will provide further information on these initiatives before 31 March 2008.