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Forum: Diamonds In the Real World
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INSIDE LOOK AT THE DIAMOND WORLD
5. Diamonds and Overhead
There is a lot of confusion about the price of diamonds. Why does the same diamond cost one price in one country, but a different price in another? After all, the diamonds all come from the same mines in the same small group of countries.
The answer is overhead. Depending on where the diamond is cut, polished, and set, the local labor charges and taxes vary widely. Stores in luxury locations must pay their rent and pass this cost on to the buyer. The market value for a stone is no different if that stone is sitting on the shelf in Antwerp, Bangkok, or Johannesburg. What you are paying extra for is the overhead.
Here in Bangkok, buyers have no export duty for their diamonds. Even notebook computers, watches and cameras have a 3-5% tax- and other Asians still come running here for the low prices. The same should be true of diamonds, but this is currently one of Bangkok's best shopping secrets- and you can take advantage of it while the market is relatively slow.
Even in Bangkok, though, there are better and worse places to make a purchase. Think of your clothes. Where would they be cheapest: a luxury boutique, a retail department store, or a factory outlet? The more you can cut out the middleman, the less overhead and the lower price you can pay. How can an exhibition in a hotel be cheaper than a factory showroom?
At DPlus, we want to educate our customers to make the right purchasing decisions and offer them fair (and therefore the best) prices. We are established, educated, well-trained professionals who have been active in the diamond business for 70 years in Bangkok, and we hope we can take the mystery out of prices, markets, and investments for you. There is no reason you should pay high, unfair prices to greedy or unprofessional dealers. Come talk to us and we'll be happy to give you accurate information on any diamond topic.
Next
>>
1. Diamonds
and Professionals
2. Accept No Substitutes
3. Know Your Dealer
4. Advice For Tourists
5. Diamonds and Overhead
6. We Are The Best, But Don't Only Take Our Word For It
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