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The development tools for graal client have not improved in years. The v6 game client upgrade was hated by most of the creative team on our server.
It's 2015 and we're still renaming our tilesets to 8-bit .gifs because the LAT tools do not support png files.
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It does support PNG, you just have to index the PNG's first. Not saying this makes it better, the tools are very outdated and it's frustrating... but just letting you know you don't have to use GIF. Also, I hope you don't index/GIF your tilesets at a loss to compression instead of just having two tilesets: one for development and one for server use that's uncompressed.