Coal bed methane is mainly used for combustion, which has low efficiency and low added value. Based on the microwave plasma chemical vapor deposition (MPCVD) technique, the concept of producing gem-quality single crystal diamond from coal bed methane was proposed, and the corresponding industrialization process route was designed. CVD diamond production technique starts late in China and high-end equipment mainly depends on imports. Here，five generations of MPCVD diamond equipment have been independently developed and a special process for producing gem-quality diamond from coal bed methane was also developed. The fifth-generation equipment has been industrialized. Using home-made equipment and corresponding process, multiple single crystal diamonds can be prepared synchronously in an special enclosed substrate holder. Besides, large area single crystal diamonds can also be prepared by “mosaic” growth method. The industrialization demonstration base can mass-produce rough diamonds within 20 carats. When processed into loose diamonds, they have good color, high clarity, and perfect cutting, and are deeply welcomed by the market. The results show that the production of gem-quality diamond from coal bed methane has realized its high value-added transformation. The continuous promotion of industrialization can not only boost the consumption and comprehensive utilization of coalbed methane, but also help the development of CVD diamond industry in China.