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You can have visible fumes from the exhaust on a diesel, just like on a petrol engine. If it's white and very little it's just vaporization of condensed water in the exhaust. If it's darker colours it suggests overfuelling (grey/black) or oil (blue).
On a modern diesel engine with particulate filter there really should not be any visible smoke apart from vaporization on start up. Would take it to BMW to check if there is regular smoke.
Also the tailpipe should be clean at all times on a particulate filtered diesel BMW. You should be able to wipe your finger inside the tailpipe and not get any deposits on the finger.
The smell is typical of catalyzed and particulate filter diesels. It's a strange, chemical smell as you say.
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