Dubai’s main diamond trading platform has signed a cooperation agreement with the London Diamond Bourse, setting up a formal channel between two established centres at a time when the global diamond market is under pressure from weaker demand, tighter compliance rules and the rapid rise of laboratory-grown stones.The memorandum of understanding between DMCC’s Dubai Diamond Exchange and the London Diamond Bourse is aimed at expanding commercial opportunities for members of both organisations, strengthening links across the international diamond and gemstone trade and supporting closer dialogue on issues shaping the sector.
The agreement was signed by Ahmed Bin Sulayem, chairman of the Dubai Diamond Exchange, and Charlotte Rose, president of the London Diamond Bourse. It is the first formal international partnership established under Rose’s presidency since she took up the role in June.
The framework covers cooperation on responsible trade, member-to-member engagement, knowledge exchange and the development of business opportunities across the two markets. It also gives both bourses a platform to coordinate more closely on compliance, market access and standards as diamond traders adjust to a more fragmented global trading environment.
Dubai has strengthened its position in the diamond trade over the past two decades, helped by its location between producing countries in Africa and consumer markets in Asia, Europe and the Gulf. The Dubai Diamond Exchange, based in Almas Tower at Jumeirah Lakes Towers, has more than 1,380 member companies and is the only bourse in the Gulf Cooperation Council affiliated with the World Federation of Diamond Bourses.
More than one billion carats of rough and polished diamonds have moved through Dubai over the past five years, underlining the emirate’s role as a gateway for producers, cutters, wholesalers and jewellery firms. The city has also positioned itself as one of the largest rough diamond trading hubs, using tender facilities, free-zone infrastructure and access to international markets to attract companies operating across the value chain.
London’s diamond market is smaller in trading volume than Dubai, Antwerp or Mumbai, but the London Diamond Bourse remains a long-established institution with an emphasis on governance, arbitration, trust-based trading and professional standards. Its partnership with Dubai reflects a broader shift in the sector, where trading centres are seeking alliances to maintain liquidity, improve transparency and reassure buyers about provenance.
The agreement comes as the diamond industry faces one of its most difficult periods in years. Natural diamond prices have been weighed down by cautious consumer spending, weaker demand in China, changes in bridal jewellery preferences and competition from laboratory-grown diamonds. Lower-cost synthetic stones have gained ground in the United States and other retail markets, particularly among younger buyers looking for larger stones at lower prices.
The pressure has forced natural diamond producers and traders to sharpen their messaging around rarity, heritage and long-term value. Industry groups have stepped up campaigns to distinguish mined diamonds from laboratory-grown alternatives, while retailers are becoming more precise in labelling, pricing and customer education.
Compliance has become another defining issue. Restrictions on Russian-origin diamonds have added new documentation burdens for traders dealing with Western markets. Importers are increasingly expected to demonstrate origin and due diligence, making traceability and trusted counterparties more important in cross-border transactions. For bourses, that has raised the value of common standards, dispute-resolution mechanisms and verified membership networks.
Dubai’s strategy has been to place diamond trading within a wider commodities ecosystem that also includes gold, precious stones and laboratory-grown diamonds. DMCC has developed services around tender hosting, compliance support, member networking and specialist events. Its diamond ecosystem also links with international bodies focused on responsible sourcing and the prevention of conflict-diamond trade.
The London tie-up gives Dubai members another route into the UK market and offers London traders access to Dubai’s growing network of producers, manufacturers and wholesalers. For smaller and mid-sized firms, the practical benefits may include new contacts, trade events, market intelligence and easier engagement with counterparties operating under recognised bourse rules.
The deal also signals the continued importance of traditional bourses even as diamond trading becomes more digital and globally dispersed. Online auctions, electronic documentation and cross-border tenders have changed how stones are bought and sold, but the industry still depends heavily on trust, reputation and enforceable rules.
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