DTC cocktail party ends on an ambitious note

DTC cocktail party ends on an ambitious note

Shine and Penny reiterate the growth plans of the DTC

The DTC Sightholder cocktail party, which was held two nights ago in London concluded on a positive note. Although the recent past has not been so pretty with DTC slacking its number of sightholders, Nicky Oppenheimer stated that several personal friends would no longer be buying diamonds directly from De Beers but, “At the same time, it is exciting to welcome new players who I am sure will add luster and vibrancy to the industry as a whole. Varda Shine (DTC Managing Director) has kept me closely in touch with the whole process and she and her team have met every challenge I placed before them.”

De Beers Managing Director Gareth Penny noted that in 2007 De Beers had introduced improvements to find new deposits of rough. He added: “As we look forward to opening several new mines this year, we have also sold on some of our operations that no longer fit with the business model we seek to deploy. To attain profitable growth, we must remain aware of costs. As India and China continue to register outstanding economic growth, their demand for finite supplies of natural resources has resulted in higher resource prices.”

DTC Managing Director Varda Shine admitted that the recent changes in DTC policies have not been easy for anyone. However, she noted: “I believe that the new Sightholder contract was implemented fairly and objectively, applying the same rules to every applicant. I believe too that it has resulted in a list of diverse, quality Sightholders that are best placed for future success, particularly in the current environment of constrained supply.” She also highlighted the road ahead to be taken by DTC along with its partners, saying “DTC Botswana will be opening its new building in Gaborone and we will be working on our plans to transfer aggregation from London to their fantastic new facility in 2009. The new Sightholder contract will mark the completion of major period of change in the structure of our business relationship with you, our clients. Our joint ventures with the Governments of Namibia and Botswana are start up businesses. They have access to the knowledge and expertise of the DTC and will adapt as lessons are learnt. Together, the DTC, its producer partners and the Sightholders with operations in these countries will continue to seek ways of maximizing the value of diamonds and work together to ensure that a sustainable downstream business is created.”

Shine asked the Sightholders to benefit DTC’s initiatives with feedback to make ways for improvements. She also clarified the eligibility of the Forever mark, saying: As you know, in future participation in the FOREVERMARK will be open to all eligible diamantaires and not just DTC Sightholders. This means that existing and new DTC Sightholders through their continuing compliance with the Best Practice Principles will meet one of the fundamental criteria to be a FOREVERMARK diamantaire.”

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