This trial aims to investigate the ability of the stem cells to enhance insulin production in patients with type 2 diabetes. The trial is being conducted by the Postgraduate Institute of Medical Research in Chandigarh in Punjab and will compare different methods of delivering the patient's own bone marrow stem cells. The stem cells will be labelled and where the injected stem cells travel in the body will be monitored using positron emission tomography (PET) scanning. All participants will have stem cells harvested from their bone marrow, expanded in the laboratory and labelled a tracer (F18-FDG). Participants will be randomly divided to four groups. The first group will have labelled stem cells injected via the superior pancreaticoduodenal artery. The second group will have the label stem cells injected into the splenic artery. The third group will have the stem cells infused intravenously (IV) and the final group will have a placebo saline intravenous infusion. The distribution of these labelled stem cells will be monitored by PET scanning 30 minutes and 90 minutes following the injection. Participants will be monitored for complications and changes in their condition. The study expects to enrol 28 patients by end 2013.