IN 2016, the Kimberley Process Civil Society Coalition publicly confronted the United Arab Emirates (UAE) over its weak enforcement of responsible diamond sourcing standards.
At the time, Dubai’s rise as a diamond trading hub was viewed with suspicion.
The coalition highlighted serious deficiencies—ranging from inadequate due diligence and valuation concerns to lack of co-operation with trading partners, particularly about diamonds sourced from conflict-affected regions.
Yet, less than a decade later, Dubai has not only silenced its critics but has emerged as the world’s largest diamond trading hub, eclipsing the historic stronghold of Antwerp.
In 2024 alone, UAE traded an estimated 179 million carats worth about US$40 billion, with a 12% rise in rough and polished diamond transactions recorded in the first quarter.
This remarkable growth reflects not only strategic foresight but also the country’s ability to respond to stakeholder concerns and recalibrate its systems accordingly.
A visit to Dubai early this year showed that the country has created a Hall of Shame for unethical diamond dealers. The faces, names and companies that have violated UAE’s ethical code for diamond dealers are displayed on a wall. They are suspended for some time before they can be considered for readmission.
Zimbabwe, meanwhile, is also selling a significant portion of Marange diamonds in Dubai. However, the country’s transparency and accountability mechanisms have not evolved since it opened the diamond fields to formal mining in 2009. Currently, it is the Zimbabwe Consolidated Diamond Company (ZCDC), by far the largest producer, which conducts tenders in Dubai. Anjin Investments, a joint venture between Anhui Foreign Economic Construction Company and Matt Bronz, a subsidiary of Zimbabwe Defence Industries, however, has opted to auction its diamonds locally in Harare — a decision that seems increasingly out of step with global trends.
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UAE’s ascent didn’t happen by accident. Its central geographic location, simplified visa system, low-tax regime, excellent transport links and state-of-the-art infrastructure have created a seamless trading environment. Even more critical is its proximity to both Africa’s major diamond producers and India, where nearly 90% of the world’s rough diamonds are cut and polished. The result is a marketplace where a single tender can draw up to 400 participants, creating transparency through competition and maximising value for sellers.
That context makes Anjin’s decision to hold tenders in Harare questionable. When so many countries are moving towards competitive and efficient markets like Dubai, why is one of Zimbabwe’s major players choosing to stay local, where tenders lack the scale, participation and pricing dynamism found on international markets?
But while UAE has evolved, Zimbabwe’s diamond sector remains stuck. Governance of the industry has seen little progress. Security around mine sites is still porous. Reports of illicit leakages persist, undermining both accountability and commercial viability. These governance failures are not abstract — they carry real consequences. ZCDC recently retrenched over 400 workers due to financial strain, in part driven by operational inefficiencies, suspected leakages and competition from lab-grown diamonds.
The divergence between Zimbabwe and UAE in the diamond trade reflects a broader truth: success in today’s global mineral economy depends not only on resource endowment but on good governance, market intelligence and strategic positioning. The UAE listened to criticism, implemented reforms and is now reaping the rewards. Zimbabwe, despite its rich diamond fields, continues to suffer from underperformance and lost potential.
If Zimbabwe wants to benefit meaningfully from its diamond wealth, it must rethink its governance architecture and embrace reforms that enhance transparency, reduce leakages and create investor confidence. The country needs a clear vision and an effective diamond governance framework that ensures zero tolerance for corruption and unethical practices. Zimbabwe’s diamond sector must be insulated by policy and practice from political interference. Anything less is a continued surrender of value and opportunity.
- Farai Maguwu is the Executive Director of the Centre for Natural Resource Governance. He writes in his personal capacity.
