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International Diamond Exchange

An international diamond exchange, for a diamond supply chain, serves as a central distribution point. An international diamond exchange sorts and distributes recently mined rocks. A variety of characteristics judge how diamonds are sorted, and after being sorted, the diamonds are distributed to jewelry manufacturers and dealers, where the diamonds are cut in specific fashion and are sold. Ramat Gan is the world’s largest international exchange, near Tel Aviv, Israel. The Diamond Tower is in Ramat Gan, where the world’s largest diamond trading floor presides, along with many other international exchange buildings.

Among many other large international diamond exchange centers are New York City and Antwerp, Belgium. Diamond traders working in an exchange purchase the rough products from diamond mines in an exchange. The values which are used to sort the rough diamonds are size, shape, clarity and color. Specialized training and aptitude is required of the sorters working in an exchange. The constant proximity to diamonds requires a background check of all the sorters. Diamond exchanges use ultra-sensitive scales to measure the weight of each sorter’s diamonds before and after sorting because every 142 carats of diamond produce barely over one ounce of usable stone.

The international diamond exchange’s second element of operation is the distribution. The sorters work in the exchange then sell their packages of usable stones to diamond dealers, once they are done sorting them, many of these dealers send it to their cutting and polishing factories. Diamonds may even pass through multiple dealers before reaching the customer. The difference between the buying and selling price of the stones is how the profit of a sorter is measured. In most cases, sorters make a profit margin of about 10 per cent. The diamond exchange of Israel sorts approximately 65 per cent of the rough diamonds in the world. This is why the sorters working at the exchange have an advantage over the others.