WFDB’s Paz Calls Industry to Remain Cool, Act Rationally

Avi Paz, President of the World Federation of Diamond Bourses (WFDB) called on the key diamond industry players to act in unison in an effort to launch a single body dedicated to manage generic advertising efforts in the main global jewelry consumer markets.

During his speech at the Antwerp Diamond Symposium earlier this week, Paz discussed how the diamond industry and trade is to uphold and strengthen consumer confidence in diamonds and diamond jewelry.

“Our responsibility, as industry leaders, is to create the right atmosphere and ensure that the diamond industry and the diamond itself enjoys the confidence of the public as well as of the banking system. If we do that, and make sure that the public appreciates the value of diamonds, not just as a precious stone but also as a financial investment, I am certain this global wave will not harm us but rather elevate us,” Paz said.

He urged industry members to use their communication tools to carry a message of optimism, belief and determination and to impress that each and every one of us plays a vital role in building and maintaining consumer confidence. “One must remain cool, think logically and act rationally,” he said.

Saying that the banks are going through difficult times, the industry has to make sure that they retain their confidence in the diamond industry. “We need to remind banks that we are not part of the crisis and that they should not create difficulties for us unnecessarily.”

As runaway rough diamond prices were driven by speculative and political purchases, Paz urged “each diamantaire, not to buy rough when he does not need it.”

He stressed the industry should also act in a sensible manner regarding polished goods that are on the market. "We should be wise and not take actions that will lower the prices."

The WFDB president then proposed a joint organization to promote and market diamond jewelry, emphasizing the value retention of diamonds and as such their significance as an investment. He said that this new all-industry forum would need to allocate a budget and coordinate an intensive public relations and campaign in the various consumer markets to promote diamonds and diamond jewelry.