Rosy Blue, an industry leader in the world diamond market, said that growth in sales to the Gulf Arab region increased by $120,000,000 last year. This is a 57% increase over 1996. For this year, the firm is looking grow $250 mm.
Most people know the (UAE) is a rising star economically, particularly Dubai city. In an age where China and India take the spotlight for the massive size of their growing economies, smaller countries and regions can get overlooked. The UAE economic story is remarkable from every angle. The Emirates’ luxury goods sector is expected to grow to $100 billion by 2010. It is the market for diamond jewelry that is clearly most responsible for the rising sector. “Diamond jewelry sets are particularly important to the region,” DTC Gulf Markets marketing director Jonathan Chippindale says. “In addition to being unique to the Arab world, sets represent a 55 percent value share of all diamond jewelry sales there and, at an average price of $6,000 per diamond jewelry set, they signify an important growth area for the Gulf market.”
Much of the increase in disposable income is due to the dizzying heights crude oil prices are maintaining. Diamonds have a premium over gold in the Dubai emirate state, as consumers believe they make better investments.