Palloys
advertisement
Palloys
advertisement
Palloys
advertisement
Goto your account
Search Stories by: 
and/or
 

News













The rough and polished sectors of the diamond 'pipeline' have recorded price increases as a result of supply and demand pressures. Image: De Beers
The rough and polished sectors of the diamond 'pipeline' have recorded price increases as a result of supply and demand pressures. Image: De Beers

Diamond market rebounds; prices rise

The international diamond trade has continued to recover following the COVID-19 downturn, with manufacturers striving to meet strong consumer demand from the US and China and rising prices for rough and polished stones.

In India, exports of cut and polished diamonds reached $US2.2 billion in April – the most recent figures available – compared with $US34.5 million for the same period of previous year, according to the Gem & Jewellery Export Promotion Council (GJEPC).

Meanwhile, figures from Israel’s Ministry of Economy and Industry (MEI) indicated that the country’s polished diamond exports tripled in May 2021 when compared with May 2020, from $US75 million to $US264.2 million, Rapaport News reports.

Evgeny Agureev, deputy CEO Alrosa
Evgeny Agureev, deputy CEO Alrosa
"End-demand for diamond jewellery remains robust in all key regions. For the first four months of the year jewelry sales exceeded pre-COVID levels of 2019 by 30 per cent in USA, and by 10 per cent in China"
Evgeny Agureev, Alrosa

Polished exports increased 68 per cent over the first five months of the year when compared with the same period in 2020.

Rapaport News quotes Ophir Gore, MEI director of diamonds, precious stones and jewellery administration at the MEI, as saying the Israeli diamond industry had experienced “meteoric growth” in recent months.

“The Israeli diamond industry has many reasons to remain optimistic, among the main ones being the recovery of the global diamond industry, price increases, and the inventory reduction at the major mining companies, especially De Beers and Alrosa,” Gore added.

De Beers – the world’s second-largest diamond producer by volume – recovered just 25.2 million carats in 2020 due to widespread mine closures as a result of the COVID-19 pandemic.

It has reduced its 2021 production target twice, to 32–34 million carats, and stocks were further depleted by a demand spike in its first three Sights of 2021, with sales of $US1.663 billion.

Meanwhile, Russian mining conglomerate Alrosa – the world’s largest diamond producer by volume – also noted a decrease in inventory in its Q1 2021 report, to 12.8 million carats from 20.7 million carats at the end of Q4 2020.

Revenue increased 28 per cent for the first quarter of 2021 to $US1.1 billion, compared with $US881 million for the same period in 2020.

Evgeny Agureev, deputy CEO Alrosa, said, “End-demand for diamond jewellery remains robust in all key regions. For the first four months of the year jewelry sales exceeded pre-COVID levels of 2019 by 30 per cent in USA, and by 10 per cent in China.”

Alrosa has lifted its production target for 2021, from 28–30 million carats to 31.5 million.

Agureev also noted a “substantial improvement” in the Indian 'midstream' of the diamond supply chain since the country's severe COVID-19 outbreak in late April, which limited the number of staff in factories and forced many workers into quarantine.

The GJEPC estimates manufacturing is now operating at approximately 75 per cent capacity for uncertified goods weighing 0.20 carats and above, while production of diamonds large enough for grading reports is at 90 per cent, according to Rapaport News.

 

More reading:
De Beers sales rise to level not seen for three years
Coronavirus roughs up diamond industry
 


Nomination (Time Supply)
advertisement





Read current issue

login to my account
Username: Password:
Australian Diamond Trading Corporation (ADTC)
advertisement
SAMS Group Australia
advertisement
SAMS Group Australia
advertisement
© 2021 Befindan Media