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Trade Soars at China's Only Diamond Exchange
Shanghai Diamond Exchange, the only national diamond trading ground in China, is normalizing its operations step by step, with transactions expected to top US$100 million this year.

Lin Qiang, General Manager of the exchange, made the remarks during Monday's opening of the Shanghai Diamond Exchange Office ofthe Shanghai Customs Office.

The exchange is beginning to play a role in curbing diamond smuggling and developing China's diamond market, Lin said.

According to the general manager, the exchange witnessed a surge in diamond trade in the first eight months of 2002, especially since May, thanks to the government's policies to reduce taxes and centralize the administration of this sector.

In the first eight months, 1,975,000 karats of diamonds were traded at the exchange, worth 62,061,100 US dollars. The exports totaled 156,400 karats, worth 13,398,500 US dollars. The customs levied totaled 24,738,400 yuan (about 2.98 million US dollars) in value-added taxes on exports.

Under a new policy, all diamond imports at the exchange are exempt from import duties.

The Shanghai Diamond Exchange is the only Sino-foreign joint venture.

(Xinhua News Agency September 3, 2002)

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