Diamond revenues grow 41.6 percent in two years

Luanda – Tax revenues generated by diamond trading have increased 41.6 percent over the last two years in Angola thanks to reforms introduced by the government the country?s National Diamond Company (SODIAM) said on Saturday.

Endiama explains that the new diamond trade policy also enabled an annual growth average of 8.5 percent in gross revenues during the referred period against 2.3 percent recorded in 2016 and 2017.

The current diamond trading reforms not only prompted growth in tax revenue but brought competition and transparency to the sector which until then had not existed reads the note of the company that reached ANGOP on Saturday.

The previous diamond trading model in force from 2012 to 2016 was based on preferential customers pre-authorized and pre-arranged direct sales procedure enjoying exclusive access to the market being the only ones able to buy the precious stones says the company.

However adds SODIAM this model turned out to be seriously harmful to the treasury leading the government to approve in 2018 a new Diamond Trading Policy currently in force.

In the new model the basic sales benchmark price is defined in advance under an agreement by the main players in the process namely the producer SODIAM and the independent valuator.

As a result of the new measures the diamond trading system has recorded several improvements and positive aspects with more than 120 companies currently registered in SODIAM’s client portfolio the firm says.

Source: Angola Press News Agency