ANTWERP DIAMOND INNOVATION OPPORTUNITIES

2021 | 2nd edition

Summary

Contact City of Antwerp

Sandy CeulemansDiamond Business & Innovation Manager, City of Antwerp November 2021This report was prepared by VERHAERT New Products & Services

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CONTENTS

Financing01Digitalisation02

03 Automation & robotisation

04 Data analysis

Executive summary report 202100

06 Trade and production of lab-grown diamonds

05 Cross-industry networking

08

Interview MadeStones0910

07 Interview ADMP/DiAntwerp

Interview ADG

Interview HRD Antwerp

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Guide to the 2021 reportThis document supplements the previous

research into the innovativeness of diamond

companies in Antwerp that was drawn up by

the City of Antwerp in collaboration with

Verhaert | Masters in Innovation. This annual

report provides an update about the various

priority levers for innovations that are

discussed by a group of industry experts in

Antwerp.

Similar to last year, 2021 was influenced bythe pandemic and the health crisis has alsohad an impact on the diamond industry.According to the FPS Economy, there wasalmost no contraction in the number ofregistrations. The experts we talked toobserved that a contraction occurred in thenumber of companies and employment on theone hand, in addition to the recovery oftrading volumes, the emergence of new start-ups and innovation among the remainers inthe autumn of 2021, on the other.

As is often the case in crises, organisationsare stimulated to take a different approach.

The 2021 report and the registration procedure is available online: businessinantwerp.eu/diamond

During this operating year, we offeredpersonal coaching to four companies. Eachpathway is built on one or several prioritythemes that will be discussed below. Theenvisaged achievements can potentially offerleverage for the diamond industry.

The entrepreneurs discuss the challengesthey faced and their solutions in a briefinterview, in addition to discussing how thecoaching helped them to develop a solution.

Are you interested in starting up aninnovation pathway? Find out more about theselection criteria and procedure via the linkbelow.

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00 Executive summary 2021 report

We will discuss the six priority levers for

innovation in a brief summary.

Financing and banking services continue to be

a crucial focus in 2021 for diamond companies.

The basic banking service, which was approved

at the end of 2020, is a new instrument for

diamond companies, in addition to existing

innovative initiatives by specialised payment

platforms.

Digitalisation continues to be an interesting

field, to further standardise and simplify

processes and investments in compliance

documentation and tracking technology.

In terms of robotisation & automation we

must make a sustained effort to keep the

labour costs of specialised services low.

Investments can sometimes be borne by

several parties simultaneously, or be financed

through programmes such as VLAIO.

The selected innovation levers for 2020 were discussedwith an expert panel and we reflected on operating year2021 with them.

Most of Antwerp’s diamond companies made a relativelyquick recovery after COVID, compared with the otherglobal diamond hubs. Antwerp succeeded in maintainingits sales volumes with slow moving stocks. At globallevel, Antwerp was able to consolidate its position, whileother hubs such as India or Israel lost part of its marketshare, in particular in for rough diamond sales.

In 2021, Antwerp’s diamond companies mainly reflectedon new business models and the digitalisation ofprocesses, as part of their innovation efforts. Specialisedcompanies are also tackling technical issues. Otherstrategic challenges that we detected mainly focused oncompliance and provenance. These themes fall within thescope of this report insofar as they relate to digitalisationand making processes more transparent.

Data analysis continues to be an underexploited lever for innovation in 2021.

Experts believe that there is no organised data

collection or analysis in the pipeline, although

one organisation we coached as part of an

innovation pathway has explicitly developed

added value around this.

In terms of networking, new initiatives are

emerging that focus on vertical integration in

the value chain and the shared development

of new tools or platforms.

Finally, the emergency of lab-grown diamonds

continues to be an interesting lever to

monitor, both in the jewellery and the

industrial markets. Antwerp can play an

unique role in this growing ecosystem, in

trade, production and detection.

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FINANCING

SYNTHETIC TRADE & PRODUCTION

AUTOMATION &ROBOTISATION

CROSS-INDUSTRY NETWORKING

DIGITALISATION

DATA-ANALYTICS

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01 Financing Expert opinion challenges

Basic banking services

• A bigger problem than 'financing' due to thelegal obligation as a company to have a Belgianbank account versus an extensive risk policy, as aresult of which many diamond companies areunable to benefit from this basic service; theindustry's bankability is low.

Fast international money transfers

Belgian banks create a gap in facilitating fastinternational bank transfers, including of large sumsof money, which are often necessary in the diamondindustry.

Financing

- Many diamond companies are unfamiliar options such as venture capital, business angels, subsidies, etc. when it comes to raising finance. Nor do they have experience with pitching a business proposal to a bank.

- Financing is considered less of an issue in the sector, especially because the pandemic indirectly led to much healthier companies, in particular in Antwerp.

Accelerators for financing

Approval of the Law on Basic Banking Services

On 22 October 2020, Belgium’s federal parliamentapproved the law on Basic Banking Services, whichmay offer a solution for diamond companies andinternational traders wishing to establishthemselves in Antwerp. Under this law, companiesthat have been refused basic banking servicesthree times (opening an account) can now apply tothe Basic Banking Services Chamber of the FPSEconomy and to the ombudsman in financialmatters. They will jointly designate a Belgianfinancial institution that must provide thecompany with these services. Although thelegislation has been approved, it still has to beimplemented.

Diamond companies can continue to contribute tostructural solutions through sectoral organisationsto increase the already existing level of trust.Innovation is much more difficult to achieve forthis theme, at the individual level.

Finally, new initiatives in terms of compliance andtraceability (see elsewhere) also have thepotential to increase the sector’s bankability.

“The systematic refusal by banks to service an entire sector is an obstacle to the growth and innovativeness of Antwerp’s diamond industry.”

Karen Rentmeesters, AWDC

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01 Financing Fast international money transfers

• In addition to existing, traditional and for themost part international banks, such as theState Bank of India, National Bank of Fujeirah,Bank of India, ABN Amro, various Belgian andinternational initiatives were set up to facilitateinternational money transfers, throughspecialised payment platforms such asFrontyrion, for example. The AWDC AMLcompliance helpdesk has a list of foreign banksand international payment platforms withwhich agreements were made.

• These initiatives have their limitations,however. Not all of these players offer onlineservices, they are selective when it comes toaccepting clients and the diamond industrydoes not quite fit in with their deriskingstrategy.

• Previously, initiatives were set up thatdisappeared as quickly as they came. Finding adurable solution to this problem continues tobe a challenge for now.

For further information:Vlaio websiteAWDC AML & compliance helpdesk

Financing

• In 2021, a number of webinars wereorganised to inform and make Antwerp’sdiamond industry aware of the subsidychannels at VLAIO.

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02 Digitalisation Expert opinion challenges

Administration | Financial and non-financial compliance

• Digitalisation, standardisation andsimplification for both financial and non-financial compliance continues to be anissue.

• The compliance requirements for collectingdata throughout the value chain are high,especially for small players. Meetingcustomer wishes with regard to traceabilityis also complicated.

Three tiers of digitalisation

Digitalisation can take place at three levels:1. up-to-date website and social media

presence;2. online trading platforms and traceability; 3. new services and business modelsMany diamond traders find digitalisationchallenging, however.

• During the pandemic, online tradingplatforms and tenders were more widelyused, to which some diamond traders haddifficulty adjusting.

“Technologies and digital transformation may contribute to achieving the17 Sustainable Development Goals. Credible data frameworks and Environmental Social Governance (ESG) implementation must be a priority for all sectors.”

Iris Vanderveken, RJC

Accelerators for digitalisation

Administration | Financial compliance

The increasingly stringent requirements infinancial compliance and digitalisation, inparticular in Belgium/Antwerp, offeropportunities to further consolidateadvantages in transparency and “duediligence” in Antwerp and to furtheremphasise as a strength compared tocompetitors.

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02 digitalisation Administration | Non-financial compliance

Compliance benchmark

A standardised measurement would indicate anorganisation’s level of compliance with thecompliance criteria. Such a dashboard could alsobe interesting for companies that already complywith specific frameworks but are interested inexploring their compatibility with otherframeworks. Moreover, this initiative couldactively contribute to the industry’s bankability.

Technology

• One of the recent interesting developments isthat miners have implemented new trackingtechnology, tracing the diamond from themine to the jeweller. In Antwerp, companiesare also working towards vertical integration,from the mine to the jeweller.

• The quest for a unique digital identifier‘fingerprint’ of a hot topic continues to be ahot topic.

• New technologies such as augmented andvirtual reality offer opportunities forinnovative services and retail experiences.

Small companies

• Processes for paper administration, inventorymanagement and other aspects can beoptimised and automated using digitalisation.Adapted software and templates, tailored toSMEs, are widely available.

• Check your digital maturity with the quick scandeveloped by the Flemish Government, VOKA andDeloitte and compare your score with that ofother companies in your industry. You thenreceive tips to enhance your company’s digitalcompetitiveness.

• UNIZO also organises regular informationsessions and inspiration cafés on the subject ofdigitalisation.

Three tiers of digitalisation

• Harnessing the power of digitalisation offersunderexploited potential for an industry that hasrelied on the same way of doing business forcenturies.

• Online sales channels are becoming morewidespread.

• Custom design platforms for end customers suchas Blue Nile’s ‘Build Your Own Ring’ arebecoming increasingly popular.

AWDC’s supporting toolsDigital quick scan VOKA / Flemish Government (Dutch)Advice & information about digitalisation from UNIZO (Dutch)

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03 Automation & robotisation Expert opinion challenges

Substantial investments to achieve cost efficiency

• Experts have noticed a need for further costefficiency. Automation with smart robots andnew state of the art functionality can replacespecific human tasks.

• However, these automations must often bespecifically developed for diamondapplications, requiring substantialinvestments.

Applications

• In the diamond industry, we distinguishopportunities for automation and robotisationin production, supporting services, and originand traceability.

• Automation: as discussed in relation to‘digitalisation’, certain business processes suchas billing, inventory management and (firstline) communication with the customer can beautomated.

• New technology such as 5G and connectedsensors (Internet Of Things / IOT) can make thedifference in the feasibility of somerobotisation and automation applications.

• Specific challenges in robotisation:machines must be able to take the issueof the mechanical tolerance of the entirechain and properties related to thedifferences in crystallographic orientationinto account.

Accelerators

Substantial investments to achieve costefficiency

• VLAIO’s subsidy programmes constitute apotential lever. See also the ‘financing’topic for links to funding bodies. Variousservice providers offer support fordrawing up applications for subsidies.

• Collaborations with like-minded partnerscan also help to spread the risk. In thatcase, unambiguous agreements must bemade about the shared use of themachine(s) and Intellectual Property (IP).

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03 Automation & robotisation Applications

Automation

• Using artificial intelligence for diamond grading is becoming more commonplace, including at organisations such as Sarine.

• However, Artificial Intelligence (AI) also seems to be emerging in chain optimisation from mine to jeweller, proactive inventory management, and the shortening of the diamond polishing process time and grading.

• We have also observed innovations based on automation in the polishing of diamonds, which is a labour-intensive process.

Robotisation

• The acceleration of the polishingprocesses with smarter scans to processhundreds of stones per hour and thedecentralisation of know-how with newservices.

• ‘Industry 4.0’ continues to be animportant driver at the Flemish level toremain competitive in the globaleconomy, where wage cost continues tobe an important handicap for localbusinesses.

“Industry 4.0 creates opportunities for the diamond industry,

including new polishing techniques and the automation of various process. Antwerp has a lot of local expertise that can be leveraged.”

Ann Peeters, Agoria

Inspiring articles• How AI changes diamond manufacturing• How blockchain automates and transforms

transparency• New algorithms for diamond scanning• Factory of the Future, 7 crucial transformations

(Agoria)

Agoria identified 7 crucial trans-formations for a cost-effectivemanufacturing industry in Flanders (seelink).

• 5G: the next generation of this super fastnetwork enables applications such asdetailed commands to robotic arms. Thisincludes remote controlled robots(mixed reality). Local expertise can thusalso be exported in the diamondindustry (e.g., remote polishing).

• IOT: Internet of Things equips deviceswith sensors and shares data with otherdevices in the environment. In this way,maintenance needs can be estimated, orproduction processes aligned andconsulted remotely.

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04 Data analysis Expert opinion challenges

Aggregated / Sectoral approach• Diamond industry in the early stage• Business Intelligence at a low level,

individual entrepreneurs are unable toachieve the same impact.

• The potential that aggregated data, datafrom various actors and support from localsuppliers in terms of Artificial Intelligence (AI)and engineering offers to underpin strategicdecisions is underused.

Data• Few or no (relevant) datasets (with sufficient

critical mass) available• Data are rarely published or shared• In collaborations: who owns the data?• Cybersecurity concerns

Accelerators

Aggregated / Sectoral approach

The analysis of market and (aggregated) salestrends using simple tools can lead to improvedinsights and opportunities for growth forbusinesses.

Unfortunately we have observed that noinitiatives have been taken in terms oforganised data collection and analysis.Experts consider this to be a majorshortcoming.

DataTrading platforms such as RapNet and Get-Diamond do collect data about the onlinetransactions of their users.

In terms of information and cybersecurity,the AWDC Security Office’s focus is mainlyon information and cyber threat perception,raising awareness among business ownersand their employees, and giving adviceabout best practices and cyber incidentmanagement.

AI can analyse large datasets and identifycomplex relationships. This information canbe used in automation (see above) or todevelop dashboards for entrepreneurs.Pricing strategies can be determined bymonitoring market trends.

“To measure is to know. By combining different pieces of information, we can do business more proactively.”

Nader Murad, ADMP

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05 Networks across industry boundariesExpert opinion challenges

Individual action means opportunities are notseized• Innovation at individual level, for own

development, without a like-minded partner• As such companies lose out in terms of

complementarity and value creation• Facilitating role and leverage potential of

sectoral organisations is underexploited

• Single point of contact for innovation ismissing

Collaboration in the value chain• Open innovation is the new mantra in an

increasingly competitive ecosystem, in which companies cooperate to develop innovations.

• The industry must explore how chain collaborations can lead to synergies.

Accelerators

Individual action means opportunities are notseized● Capitalise on the strength of Antwerp’s triple

helix (industry, government, university)● A better climate of cooperation compared

with other diamond hubs● Organisations such as the City of Antwerp,

AWDC, ANTWERP. POWERED BY CRETIVES.(crossovers with creative entrepreneurs) andFlanders District of Creativity (crossovers withfashion)

can advise interested entrepreneurs onongoing cross-fertilisation initiatives andorganisations, facilitate B2B networks andsuggest possible ways of working and usefulcontacts, at universities for example.

Collaboration in the value chain

• Long-term contracts and sightholdershipare an important strategic pillar in thetraditional sales chain.

• Emerging innovative technologicalcompanies who want to make the chainmore sustainable through verticalintegration, which offers advantages suchas traceability, the sharing of valuable data,transparency to customers and sharinginvestments.

• Some inspiration: In the Flemish agricultural sector, collaborations through shared services are an effective system for sharing investments and collectively using specific machines. They use a digital booking and registration system, which automatically takes care of everything.

Flanders DC (Dutch)AWDC Webinars & EventsANTWERP. POWERED BY CREATIVES. (APBC)

(Dutch)LinkedIn Business In AntwerpInspiration: Machining in agriculture (Dutch)

“Collaborations throughout the chain offer unprecedented synergies.”

Dave Oste, HB Diamonds

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06 Trade in lab-grown diamonds Gem quality

Expert opinion challenges

The experts cited the following elements withrespect to this theme:

• Trade: emergence in recent years of newplayers that trade in diamonds, often asadditional legal entities of existing companiesin the industry.

• Production & location: The production of lab-grown gem quality diamonds is evolving at avery rapid pace. Producers, mainly in China,are able to produce increasingly largervolumes and consistent quality. As a result,the segment is increasingly evolving towardsmass-produced diamonds. To date, it has notbeen demonstrated that Flanders is a suitablelocation for production.

• Consumer: consumers are increasinglyinterested in lab-grown diamonds in thejewellery market.

• Differentiation: continues to be a crucial focus.Currently also sometimes a ‘war of words’:discussion on arguments such as theenvironmental impact and other selling points.

• Detection: clear need for equipment that candistinguish the two product streams from oneand other.

Accelerators

Trade

• Nothing should prevent Antwerp’s diamonddealers from trading in lab-grown diamonds.

• Sectoral acceptance seems to be increasing,among others because the profit margins arehigh. Some experts suggest the current massproduction may lead to a drop in the current(high) profit margins, which could decreasepopularity in a B2B environment in the shortterm.

Production & location

• Increased predictability of production.

• Currently impossible to determine a genericposition on Antwerp’s suitability as aproduction location.

• Case by case analysis of the business model isrequired, available technological know-how,energy requirements, market, partnernetwork, capital needs…

Consumer

• Increased popularity in certain segments andamong specific target groups because of thefalling prices and increased availability.

“Lab-grown diamonds are no longer under the radar in Antwerp.”

Thierry Silber, MadeStones

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06 Trade in lab-grown diamondsIndustrial applications

Expert opinion challenges

Existing applicationsFor years, diamond anvils, lenses, plates andgranules have been used for cutting, drilling andpolishing.

Applications in growth markets

New applications in cutting-edge technology forlab-grown diamonds include developments inoptics, laser, nanotechnology and advancedcomputing.

Accelerators

Existing applicationsIn terms of industrial applications, the futureseems assured for lab-grown diamonds, withapplications in various industries such as steel andiron, laser and optics, aerospace, mining andtunnel construction, (machine) construction, oiland gas and electronics.

Applications in growth marketsHigh-tech applications for lab-grown diamonds areexpected to expand in the coming years. From atechnical point of view, the diamond’s uniqueproperties make it a very attractive product - inpart due to the reduced purchase price - in variousindustries with high quality requirements, such asaerospace and quantum computing.

Differentiation

• A clear, differentiating classification anddocumentation for both streams can helpretailers, who often want to sell both, toinform consumers, enabling them to make aninformed choice.

• In marketing, factors such as transparencyduring the manufacturing process, thestandards that are adhered to andenvironmentally-friendly aspects are raised.

• Informative communication instead ofnegative storytelling as the cornerstone of astrong product differentiation in marketing.

• In the past year, the Natural Diamond Council(NDC) launched a few marketing campaignsfor natural diamonds. The industry as a wholestands to benefit from learning how to sharethe story of natural diamonds.

Detection

• Innovation in the market for diamondverification instruments. ASSURE labs havebeen set up in New York and in Antwerp, atthe initiative of the Natural Diamond Council(NDC), to validate verification instruments.Any instruments that pass the test areawarded ASSURE certification for a diamondverification instrument.

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Mr Nader MuradFounder DiAntwerp

07 Interview Antwerp Diamond Manufacturers Platform (ADMP) /DiAntwerp October 2021

Innovation challenge

The ‘Antwerp Diamond Manufacturers' Platform’(ADMP), a cooperative, was established to tackle anumber of challenges that Antwerp diamondprocessing companies encountered in recent years.

The offering on international platforms is gigantic.Only a fraction of these stones are ‘processed inAntwerp’, however. This means there is potential for aplatform that raises the profile of the local offering.Besides this, existing platforms do not focus on themanufacturers, which is counter-productive for thepricing of the goods of Antwerp diamondmanufacturers.

Moreover, a large number of local companies do nothave online sales channels, which is why the ADMPdeveloped an alternative. The challenge consisted indesigning and developing a competitive Antwerpplatform, called DiAntwerp.

Solution developed by the ADMP

Seven renowned Antwerp diamond processingcompanies and the Syndikaat der BelgischeDiamantnijverheid (SBD, an employers organisation)took the initiative to establish the cooperativecompany.

The cooperative structure makes it easierto share know-how with other industryplayers. The processes were developed insuch a way that new members do not haveto pass through a notary public first if theywant to become members.

If you are a diamond producer and based in Antwerp, send an e-mail to info@diantwerp.com

The ADMP offers members a custom web page on anonline platform and app where they can trade naturaldiamonds. The ADMP has developed a system, whichautomatically updates inventory. This ensures that theinventory that is displayed on the platform is alwaysaccurate and avoids disappointment for potentialbuyers when inventory is not available.

Furthermore, Antwerp’s diamond industry will manageits own online platform and have full control overvisibility and promotion.

Finally, spreading the development cost is alsofinancially much more advantageous for the members.The individual cost per member is even lowercompared with the price of a simple website. Unlikeother platforms, the ADMP will also organise onlineauctions to showcase the products of local producers.

The platform’s members will also have access toanonymised data, which will give them insights intoactivity on the platform, which types of goods sell well,which inventory is left, etc.

How did the coaching enable ADMP to accelerate?

“The programme helped us to identify our uniqueselling propositions in a very creative way. Theyasked us to reflect on ways to differentiate ourproduct in relation to the competition duringworkshops that included value mapping exercises.During the innovation pathway, we worked withconsultants who approached our project fromdifferent perspectives. The experts inspired us andalso validated the 'niche approach’ of ourplatform.”

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08 Interview Antwerp Diamond Guild October 2021

Innovation challenge

According to Alexander Dayekh, the current marketmechanisms for pricing, especially in the artisticmarket, lack a number of crucial factors. As a result,the price of diamonds is currently determined basedon a complex interaction between specific parameters,as defined under the Rapaport Specifications, forexample. None of those pricing systems take artisticadded value into account. Valuations of the samestone do not produce the same exact result atdifferent jewellers.

This premise ensures that financial markets do not seediamonds as a stable investment unlike gold or silver.Banks do not work with arbitrary valuations, meaningthey do not consider diamonds as trading assets. Amore transparent and two-sided valuation based onthe stone’s objective properties could mitigate this.

Antwerp can better protect its market position forartistic diamond shapes against low-cost countries.This is more difficult for conventional diamond cuts. Itis therefore crucial that the craftsmanship of theseartistic diamonds is correctly valued.

Alexander’s ambition is personallymotivated but it can also have a significantimpact on the industry as a whole, creatingnew opportunities throughout the entiresupply chain.

If you are interested in this process and want to be part of it, get in touch with Alexander Dayekh on Facebook or send an e-mail to alexander@dayekh.com

Today traders find it difficult to determine the exactpremium for artistic diamonds.

Solution developed by ADG

Alexander wanted to quantify this artistic addedvalue, by introducing a new valuation method onthe light performance of the stones, that iscomplementary to the traditional 4 Cs.

Throughout history, diamond light performance hasalways been a valuation criterion. Until recently,the technology to objectively measure this wasunavailable. Although bodies such as Gemexalready issue light performance certificates, theseare based on a relative scale, which is defineddifferently per lab. As such, this scale cannot yet beapplied to pricing mechanisms.

To this end, Alexander developed a calibratednumerical scale with Gemex, based on underlyingmeasurements. Each grade on the scale can then beconverted into a certain premium on top of thediamond index.

How did the coaching enable ADG to accelerate?

“During the programme, they were very discreetand provided excellent coaching. They offeredassistance for drawing up a detailed pitch. Itend to give a lot of information, but theyhelped me to summarise it, to reduce it to theessentials, even though we target a very wideaudience. Being able to rely on a secondopinion about the potential of this innovationproved very valuable to us.”

Mr Alexander DayekhFounder Antwerp Diamond Guild

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09 Interview Madestones October 2021

Innovation challenge

Thierry learned about lab-grown diamonds during theeconomic crisis in 2008. The industry was hard-hit andthe plummeting prices caused the diamond trade tocome to a standstill. Thierry was thus looking foropportunities for the future, such as the introductionof new diamond concepts and shapes such as ‘Heartsand Arrows’.

In 2009, a business contact invited him to inspect abatch of lab-grown diamonds. Thierry was amazed atthe superb colours and the potential price difference,which is why he decided to invest in the project, alongwith 9 other partners.

Two years later, Thierry Silber conducted consumerresearch to understand the feedback and customerexpectations. He thus realised that there was amarket for lab-grown diamonds for Madestones. Atthe time, themes such as environmental friendliness,traceability and human rights were also gaining inimportance in the industry. The question remained asto which role Antwerp could play in this growingmarket?

Our pathway is comparable to a footballmatch. I may be the captain, but I mustalways be able to rely on my team. And I’vehad my fair share of red and yellow cards inthe process.

Interested in a collaboration? Get in touch with Thierry Silber at thierry@madestones.com

Solution developed by Madestones

Thierry has witnessed first-hand how the reception oflab-grown diamonds has changed over time. Whereaspeople used to be reluctant when it came to syntheticproduction, acceptance is growing worldwide, becausethe industry is engaged in a dialogue and reachingagreements.

Madestones also had to think about the role it wantedto play in this process. The company also conducted afeasibility study with the City of Antwerp about theembedding of lab-grown diamond production inAntwerp, at economic and spatial level and in terms ofmarketing. How realistic is lab-grown diamondproduction in Antwerp?

A business case has been drawn up, with investmentneeds, profit and loss forecasts, potential locations,each with their own energy options and impact on thebusiness plan.

In addition, the availability of local know-how remainsan important factor for lab-grown diamonds. A plug andplay solution will still take some time to develop, interms of installation of new machinery.

How did the coaching enable Madestones to accelerate?

“We received tremendous support from the Cityof Antwerp and Verhaert. We would have neverbeen able to conduct this research processwithout their assistance. We examined variousdifferent scenarios with them and created agreat bid book for potential investors. Whenpeople realised that we were working with theCity of Antwerp, they immediately took ourproject very seriously.”

Mr Thierry SilberCEO Madestones

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Mrs Ellen JoncheereCEO HRD Antwerp

10 Interview Diamond High Council October 2021

Innovation challenge

Ellen observed that our local ecosystem is veryfragmented and that collaborations in the valuechain are few and far between. And yet, thediamond industry is a greenfield in terms ofinnovation, with opportunities in automation,blockchain, AI and digitalisation projects.

This type of innovation must enable the HRD toremain cost-competitive compared with other tradehubs and offer differentiating value compared withits director competitors.

The need for more market-oriented thinking andcooperation in the chain in order to devise newservices with added value is also apparent. Tradersfind it very important that the certification processis as cheap and as fast as possible. The physicalpassage through Antwerp plays an important partin this. This needs to be carefully thought throughbefore switching to alternatives. The HRD washappy to work on these challenges.

You can’t innovate alone. That is why weexplicitly ask our colleagues and ournetwork about opportunities, promoting aculture of openness and collaboration.

Solution developed by HRD

The HRD drafted an innovation strategy and lookedfor potential partners to develop the variousopportunities. In its pursuit of operationalexcellence, the HRD investigated differentopportunities for the automation of its processesand services. They received guidance during thisinnovation process, in the form of a technicalfeasibility study. A multidisciplinary team of expertsanalysed the opportunities for automation andcreated various quick designs (concept sketches).

The team developed the concepts in more detail,analysed the technical risks and estimated thedevelopment costs for different phases. Finally, theHRD was also given an overview of potentialsubsidy channels for the development.

How did the coaching enable HRD to accelerate?

“Together with the experts in the programme,we were able to make certain ideas moretangible and test them. The outcome of theprocess was a tangible and feasible conceptwith a development plan.”

Mr Stanley De BelieCOO HRD Antwerp

WE WOULD LIKE TO THANK THE INDUSTRY EXPERTS WHO CONTRIBUTED TO THIS REPORT BY SHARING THEIR PERSONAL BUSINESS EXPERIENCES.

Please note that the contents of this report do not reflect the opinions or beliefs of any of these experts.

Alexander DayekhFounder Antwerp Diamond Guild

Iris Van der VekenExecutive Director Responsible Jewellery Council

Melissa SmetDirector Syndikaat der Belgische Diamantnijverheid (SBD)

Thierry SilberCEO Madestones

An PeetersProject leader studies center Agoria

Dave OsteProduction & Technology Manager at HB Antwerp

Didier BackaertInternational Business & Marketing Consultant at Bonas Group

Ellen JoncheereCEO Diamond High Council

Karen RentmeestersSenior Manager PR & Communications AWDC

Bart De HantsettersCEO Diamcad

Nader MuradFounder DiAntwerp / ADMP

Stanley De BelieCOO HRD Antwerp