For dry skin all over the body, I recommend a rich emollient moisturizer, especially after bathing. Pat dry, and then apply while the skin still feels damp to the touch, to seal in moisture. Its deep moisturizing formula keeps skin smooth and soft, and helps protect it from trauma, which can be a greater potential problem for diabetics who are more prone to infection.
Diabetics also are more prone to dryness of the feet. A great product for this area is the Curél® Foot Therapy Cream, which is more occlusive (it contains shea butter, coconut milk and vitamin E) and great for feet, especially where the thick skin can become very cracked and dry.