Buying expensive jewelry can be quite confusing and when it comes to diamond jewelry, the confusion multiplies. That is because the diamond trade entails many intricacies that a common person would be unaware of. Let’s start from the diamond prices. Many factors can influence the price of diamond jewelry and if you do not research well, you can end up paying a lot more. It is a known fact that diamond price in Dubai is lower than most developed countries without any compromise on the quality. Dubai is deemed as one of the cheapest places to buy diamonds and rightly so. There’s a reason that it is regarded as one of the world’s top three diamond trading centers—the other two being India and Belgium.
Why Diamonds are Cheaper in Dubai
The mining of diamonds is conducted in specific parts of the world. Then they are traded to the rest of the world. The cutting, polishing, and refining process takes place in different parts of the world. A diamond will pass through several traders before it reaches in the hands of diamond dealers. This entire process increases the marginal cost. Hence, the closer you can get to the source, the lower it will cost. However, that is not the only factor. In fact, diamonds are not mined in or anywhere near Dubai. The biggest reason for the relatively low price of diamonds in Dubai is the lack of import duties or taxes. There are no import duties and very few taxes when it comes to jewelry items. Another factor that usually contributes to the cost of diamonds is the margin/markup of the sellers. Vendors in some other countries are able to keep high markups but that is not possible in Dubai because of the competition. Dubai gets hundreds and thousands of tourists and most of them visit jewelry shops, which means that the vendors can work with low markups. It also means that many diamond merchants are willing to negotiate the price, so a little haggling can reduce the prices even further. At times, you can find quality diamond rings or jewelry in Dubai that is more than 30% cheaper compared to some other countries.
Things to Know Before Buying Diamonds in Dubai
Now that we have established that diamonds are cheaper in Dubai and you can easily get world class jewelry at discounted rates without any compromise on the quality. However, you need to be a little cautious while buying diamonds in Dubai. You should purchase only items that are backed with certification or lifetime guarantees. Other things like cut, clarity, color, and carat should also be taken into account. Always buy from a well-reputed, renowned vendor. Big stores are more concerned about their reputation. Always ask for a certification that includes all the relevant details of the item including where it is mined from. This information is important, as you would not want to get your hands on illegally traded diamonds (also known as conflict diamonds or blood diamonds).
Diamond Certification in Dubai
The law in Dubai requires the diamond merchants to provide the certificates for every authentic purchase of a diamond item. The diamond certification is dubbed as the fifth C. It is issued by a reputed third-party agency. The agency authenticates the diamond’s characteristics. The most accredited agency is the Gemological Institute of America (GIA) but there are other credible agencies like the Diamond High Council and the International Gemological Institute (IGI). Buying the jewelry with a diamond certification is quite easy in Dubai as the majority of the stores oblige the legal requirements. Even the online stores are mindful of certifications. So, getting an authentic piece of diamond jewelry is not that big of a challenge. Diamond certification is also known as the diamond dossier. It is a formal document detailing the gem’s unique characteristics (the 4 Cs). It explains these properties in detail to ensure no ambiguity remains. So, when you are making a purchase, tally the details told by the vendors with those elucidated in the dossier. The certificate might also include the finish (polish and symmetry), fluorescence, and other details about the stone. Apart from the GIA, the European Gemological Laboratory (EGL) is another diamond grading laboratory that sets the standards within the industry. The famous and reliable jewelers across the globe prefer the certifications of these labs. The certificate from the said labs is deemed as an assurance that the diamond’s quality is of the highest and the vendor is reliable. The dossier acts as evidence of the stone’s identity.