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Article

3 Oct 2013

Author:
Clara Ferreira-Marques, Reuters

Goodbye London, hello Gaborone: De Beers sales head to Africa

[T]his week's sight is De Beers' last in London. From now on, the action will be in Gaborone…capital of Botswana…The 2011 decision to move…will shift more than $6 billion of annual rough diamond sales from an international financial center to a comparative backwater…in one of the most dramatic examples of a producing country battling successfully to keep value and profits from the raw materials at home…"I don't think any of them really want to be (in Gaborone), but they don't have a choice as the diamonds are in the ground there," said RBC Capital Markets analyst Des Kilalea…“ in terms of politics and development, if I were president I'd do the same”…De Beers…has also been supporting cutting and polishing operations by making more diamonds available locally - encouraging international firms...to grow there…The Leo Schachter group now employs some 300 people in Botswana...[Also refers to Chow Tai Fook, Debswana (joint venture De Beers & Botswana Govt.), Kemet Group, Tiffany]