Indian diamantaires recently decided to form a company to source raw material. 1500 small, medium and large diamond merchants would begin a company called Surat Diamond Sourcing (India) Ltd (SDSL). SDSL would directly source roughs from mining companies across the globe and sell it to its members including equal stakeholders through a tender system. The move is expected to raise the market share and eliminate brokers thereby reducing cost. SDSL would be formed under the Companies Act by September 2010. Once in operation SDSL will open offices in key mining countries like Australia, Canada, South Africa, Botswana, Namibia, Tanzania and Zimbabwe to facilitate direct sourcing of roughs. The new company is to follow the `Amul' pattern.
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