Russia moves to create its own diamond exchange in Vladivostok

Ambitions to open the new Russian exchange by the end of 2016 are 'absolutely real', said deputy premier Yury Trutnev. The aim is to 'try to link the marketplaces of the Asia-Pacific countries with the Russian Far East, because it is stupid to sell our diamonds to Japan or China via Antwerp'.

Diamonds from Russia have been sold in the trading exchanges of the Belgian city. Siberia's diamonds are from the Sakha Republic, also known as Yakutia, where the main Russian company Alrosa is headquartered. But Vladivostok, with its proximity to lucrative Asian markets, is seen as the right place for the new exchange. 

'For a start, we just switch our usual  consumers in the Asia-Pacific countries to the Russian Far East,' said Trutnev. 'But it must be done quietly, with calm methods, we need to talk to them [the consumers], hear their opinion and start moving forward. And then, for the next step, we will think about processing, the creation of joint companies. They are also interested.'

He said: 'Alrosa promised to indicate the timeframe, during which they hope to create a trading floor. They will mention a specific period within the coming two weeks. Vladivostok is 'the most convenient in terms of all transport intersections and the city is ready for that'.

Chinese partners are currently buying diamonds from Alrosa 'through Europe - this is a fairly long way, even for diamonds'. The Russian plan is studying the experience of the Shanghai Diamond Exchange in setting up the new trading base in Vladivostok.