Dear Reader,

This current edition of the Weekly AWJ B2N Newsletter Broadcast (Number 116) is the last in the present H1-2008 series before we break for the customary summer furlough. It is a momentary pause, a respite from the rough and tumble of daily business in the Middle East when the summer heat is at its peak.

We hibernate temporarily, only to emerge revived, refreshed and recharged in mid-August 2008 when we promise to bring you more sparkling news from the electric, dynamic, exciting, vibrant, colourful world of the premium watch and high-end jewellery in the Middle East.

Our offices in the UAE will continue to function as normal and we welcome and look forward to receiving your comments, suggestions, viewpoints and any input you may have on the first and only Newsletter of its kind in the region. Post your observations on info@mpp-me.com. We love to hear from you.

Meanwhile, you too enjoy your well-deserved vacation. If you do not have one, well you probably will have one soon. Whenever your sabbatical, we will still be working to bring you the latest developments from the industry in this region.

Au revoir and see you soon!

MPParabia Group Editors

The GCC’s current account balance, poised to hit USD $ 350.0 billion in 2008, is expected to spur a 20.0 % surge in Sovereign Wealth Funds (SWFs). Current account surpluses of the region, driven by record oil revenues, have seen a steady rise from less than USD $ 30.0 billion in 2002, according to a recent report by Chatham House, home to the UK’s Royal Institute of International Affairs.

Over the past 6 years, the GCC’s GDP has more than tripled from around USD $ 330—340 billion in 2002 to an estimated USD $ 1.1 to 1.2 trillion for 2008. Total export revenues have soared from USD $ 180.0 billion in 2002 to an expected USD $ 850.0 to 900.0 billion for 2008, of which USD $ 600-650 billion likely from oil exports alone.

The Dubai Gold & Commodities Exchange (DGCX) will steer clear of the merger mania of other commodity exchanges and focus on its own organic growth, according to Malcolm Wall Morris, the Bourse’s CEO in a recent press interview. It is one of the few independent exchanges left after a wave of consolidations in recent years.

The International Gemmological Institute (IGI) and the Dubai Gold & Jewellery Group (DGJG) recently conducted a three-week jewellery-designing programme for professionals and jewellery enthusiasts. Conducted by professional coaches from IGI, the training programme was aimed at meeting the needs, requirements and design standards of the international jewellery industry. According to Lata Manghnani, General Manager, IGI Dubai, the Institute’s courses are ideal for aspiring jewellery designers, students and even homemakers and attracts students from the UAE, Saudi Arabia, Egypt, Jordan, Sudan, Nigeria and many others.

Malabar Gold, a gold & jewellery chain in South India, has dropped (Indian) tennis star Sania Mirza from its advertising campaign because she refused to wear traditional women’s attire. Mirza insisted on wearing tennis shorts and T-shirts when the TV commercial were being made. “We have decided to drop Sania Mirza from our commercials because of the violation of our dress code,” said M. P. Ahmed, Chairman, Malabar Gold.

Swiss watchmaker Villemont has introduced its newest collection which was first previewed at Baselworld 2008. The ‘Les Heures du Monde’ adds a new member to the Esprit des Artisans collection. Using Villemont’s first in-house movement, this timepiece provides a breakthrough in the design of world timers by allowing the 24 different time zones to be read simultaneously. The 12-hour display is accompanied by the night / day indicators, situated next to each city, including Dubai (in the Middle East) while the 24-hour bridge shows local day / night on a V-shaped display.

Italian jewellery brand Pomellato has introduced four new collections in the GCC. These are Nudo, Luna, Victoria and Harem. Nudo rings come in pink and white gold with prasiolite, Rose de France amethyst and natural topaz. The Luna bracelet is available in pink gold with sky blue topaz, amethyst, moonstone, acqamarine, rose quartz and red tourmaline. Victoria necklaces, earrings and rings come in pink gold and jet and with rose-cut diamond. Harem necklace and rings are available in pink and white gold with smoky quartz.

Milanese jeweller Antonini has introduced two new collections—Australia (several sub-collections named after the country’s top cities) and Maui. Daring, clean, modern are three adjectives that identify Sydney range of rings, pendants and earrings in yellow gold with champagne diamonds and white gold with white diamonds. The bohemian contour of Darwin comprising Y-shaped pendants, earrings and pendant earrings, combines asymmetry and sophisticated allure. The Melbourne line includes rings and rigid armbands in yellow gold with champagne diamonds or white gold with white diamonds, is characterized by the contours of the feminine shape.

The Maui collection is a new collection of white and rose gold jewels playing on the essence of beauty and purity of flowers. A collection of bracelets, necklaces, chains and earrings are centred on a floral theme, letting petals play the leading role.

Al Zain Jewellery in Bahrain has introduced the Maranello V8 Watches in the Kingdom of Bahrain.

The Maranello watch is born in 2007 to bring the worldwide myth of this unique town on the wrist of the passionate of the red racing cars but also in tribute to this land and its people who have the extraordinary power to create dreams around the world.

After last year’s success with its new V8 automatic chronograph, Maranello extends its product family with many novelties.

The product philosophy of Maranello is consolidated in the segment of technological contemporary sports watches blend with the highest quality of Swiss watch making standard which meets a unique designs inspired by the world of Italian car racing legend, home of the City of Maranello

Jewellery Trade Dubai, the trade wing of the Dubai International Jewellery Week (DIJW) to be held from 11 to 15 November 2008, will have a special spotlight on diamonds this year. Dubai’s diamond trade has witnessed a record growth in 2007 increasing by 53 % to reach USD $ 11.23 billion. DIJW will bring together three components together for the first time. These are Areeq Dubai, the ‘luxury’ event which included brands from the crème-de-la-crème of the jewellery world; Jewellery Collections Dubai—the ultimate jewellery retail event and Jewellery Trade.

The forthcoming 42^nd edition of the Bangkok Gems & Jewellery Fair (BGJF) will witness the unfurling and conception of an exciting attraction that will boost creativity and dynamism of the world of jewellery design. According to Khun Somchai Phornchindarak, CEO, BGJF, the newly-introduced 500 sq. m., bifurcated Design Pavilion will serve as a platform to elevate and further supplement BGJF’s image as a venue where the most talented and celebrated designers converge to showcase their latest creations.

The bi-annual Istanbul Jewellery Show, the only jewellery show in Turkey, will be held in the historic city of Istanbul from 28 to 31 August 2008. Organized by Rotaforte International Trade Fairs and Media, the Istanbul Jewellery Show is expected to attract over 500 overseas exhibitors from over 30 countries in addition to over 600 national exhibitors. The last show in March 2008 attracted a total of 33,811 visitors including 9,416 international buyers from 86 countries.

The 2008 China Middle East Jewelry Summit will be held at the Atlantis Hotel in Dubai between 9-10 of November organized by DMCC Diamond Division with a targeted participation of the industry top players from China, Hong Kong and the Arab World to explore genuine business opportunities together.

The Summit will be the first of its kind to be held in the Middle East and will focus on the growing potential business between China and the Middle East Markets.

Among speakers at this summit will be Laurence Graff of the House of Graff, Francois Curiel of Christie’s, Robert Mouawad of the House of Mouawad, Nadja Swarovski of Swarovski,Tawhid Abdullah of Damas, Iman Altinbas of Altinbas Jewelry, Abdul Aziz Al Othaim of Lazurde .