Protocol of cooperation between Government and diamond sector

Prime Minister Verhofstadt paid an official visit to the Diamond High Council (HRD) today. The aim of this session was to discuss a number of pending matters and to announce a plan to perpetuate the competitive position of Antwerp as World Diamond Center. In March 2006 the HRD presented a memorandum to premier Verhofstadt which included 10 issues having a hampering effect on the trade and undermining the competitive position of the Belgian diamond dealers. The sector had the impression that Belgium, through a number of new regulations with regard to, amongst others, the trade in conflict diamonds and anti-money laundering, jeopardized the �level playing field� necessary for its trade purposes. It was requested to explore a number of regulations enabling the diamond sector to better arm itself against the continuous competition from a.o. Dubai.

On the level of the government as well as within the HRD a Task Force was set up to consult upon a number of permissible and attainable regulations within the international context and rules in order to restore the competitive balance. The proposed measures and the specific commitment of the government were further clarified to the sector during the working visit of the Prime Minister and recorded in a
protocol. A second protocol was signed regarding the security in the diamond district. In view of the particularities of the diamond sector, an integral and integrated security approach is needed, whereby all the actors involved � federal and municipal authorities on the one hand and the diamond sector on the other hand � resume their responsibilities and a mutual tuning and collaboration is realised.

On the other hand the HRD pledges itself that the second phase of the restructuring � whereby the umbrella organisation will be transformed into a foundation able to defend the interests of the diamond sector in a more professional and efficient way, and whereby the more commercial activities will be reorganized in a corporation � will be carried out and finalised before the end of this year. �The diamond sector was in need of a positive signal from the authorities, saying that the diamond sector was still fostered and that they were prepared to take the necessary steps to handle the problems which the sector was facing. With the protocols that were signed today together with the commitments made, the Belgian authorities showed their far reaching interest and involvement with the sector. The measures announced, together with the more modern and professional structure will enable the sector to face the future with confidence and better armed,� says Freddy Hanard, newly appointed Managing Director of the HRD.