BVGD files complaint against De Beers with the EU

The Belgian association of diamond dealers said on Friday it had filed a complaint with the EU Commission against De Beers, saying the diamond giant was abusing its dominant market position via its “Supplier of Choice” distribution system, Reuters reports.

The Belgian Association of Dealers, Importers, Exporters of Polished Diamonds (BVGD) said on its Web site that De Beers “has abused its dominant position and has artificially limited the availability of diamonds on the market,” Reuters reports.

BVGD represents polished diamond dealers in the Belgian port town of Antwerp, one of the world’s main diamond hubs.

The European Commission, which polices competition in the 25-state European Union, cleared the “Supplier of Choice” scheme in 2003 but said that it would remain “watchful” to ensure the market stayed competitive.

“We are asking the European Commission to reopen the case,” BVGD reportedly said, urging the EU’s executive body to abolish the scheme.