Diamond & Jewelry News, Advice and Prices for Consumers
Diamond & Jewelry News, Advice and Prices for Consumers
August 25, 2010
I was very surprised to read that while the demand for diamonds was on an extreme downturn this year and polished diamonds' prices have accordingly dropped, rough diamond prices are still very high and have been only going up since February 2009. How can this be? Is this still the case or have diamond mining companies decided to compromise with their sight holders and diamond production companies and unleashed a higher supply of rough diamonds, so prices could stop rising?
August 30, 2010
August 25, 2010
Finally there is good news for diamond polishing companies - Rough diamond prices are finally going to stabilize. It took De Beers and its counterparts a while to come to their senses, numerous diamond polishers have lost their job in the meanwhile and many factories have been shut down, but its better late than never. After an increase of almost 40% in rough diamond prices, Rio Tinto, De Beers and Alrosa understood that if they don't open their doors and let rough diamonds flow more freely than the whole industry could collapse and sooner or later what goes around will come around. Up to now, the attitude of the big diamond companies was that if there's lower demand for diamond than less diamond will be mined and supplied to sight-holders and diamond polishing companies. Recession? Lowering prices? When it comes to De Beers there's no such thing. A lower supply means higher prices without considering the fact that so many factories are going bunkrupt.
In a conference that took place a week or two ago an important statement was made by the world's main diamond mining companies, saying they have agreed to "assist" diamond polishing companies and would supply more rough diamonds further on to the supply chain, which would inevitably stop the trend of rising rought diamonds' prices.
