Diamond Business

A constant examination of the global diamond business from mining to retail. Using industry data and analytics, it is explained in context with clarity.

What is the Diamond Industry?

The diamond industry is a fascinating sector, with a rich and, at times, controversial history. To satisfy global consumer demand for diamond jewelry, the diamond industry invests in exploration and has developed new ways to extract diamonds from the ground.

It employs sophisticated ways to assess rough diamonds without the need to first cut them open, and has developed state-of-the-art technologies to plan diamond polishing. In addition, the industry has sophisticated ways to grade diamonds, and a complex way for determining a diamond’s value.

The diamond industry also includes design and jewelry manufacturing. Some are ultra-modern, and others very traditional. In all cases, they address consumer demand and tastes.

Are Diamonds Expensive?

Diamonds come in all sizes and clarities, and in many colors. The rarer a diamond, the higher is its value. Some are very pricy, and some are less so. There is a diamond for every budget.

Along the value chain, miners, polishers, jewelry makers and retailers do not have a wider margin than their counterparts in other sectors.

Surprised? Read the following insight posts and reports to learn more about the economics of the diamond industry.

What Are the Components of the Diamond Industry?

The diamond industry includes:

  • Exploration
  • Mining
  • Rough diamond sales
  • Diamond polishing
  • Polished diamond wholesaling
  • Jewelry making
  • Retailing
  • Consumer demand

The following posts provide insights into how exactly the diamond industry works, the ways miners sell rough diamonds, how diamond polishers tackle changing demand in a lengthy polishing process, and the financial issues that all parts of the diamond industry face.

For a deeper look into this topic, please see below:

The Golan Diamond Market Report – Q3 2019

Edahn Golan Diamond Market Report Q3 2019

After an extended period of stunted activity in the consumer, wholesale, and manufacturing sectors of the global diamond value chain, at the end of the third quarter, there are a few small signs of improvement. Following the deep decline in the second quarter of the year, US jewelry sales surprisingly picked up in July, although, cyclically, it is a month …

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Las Vegas 2019: Guts without Glory

Las Vegas 2019: Guts without Glory - Edahn Golan

The diamond industry was a prize winner. Diamond folk have guts but they have lost the glory. The JCK show proved that they lost of confidence in diamonds.

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Inventories Up, Demand Down and Lab-Grown Prices Continue to Drop

Diamond Inventories Up Demand Down and Lab-Grown diamond Prices Continue to Drop - featured

The diamond industry is out of balance. The rough diamonds produced at mines only partially fit current consumer demand. This may explain why price movement is restrained. Meanwhile, among lab-grown goods, matters are a little more lively. Although prices of smaller lab-grown goods have been mostly stable, the prices of larger goods sank in the first quarter of 2019. A …

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LGD Prices – Not What You Might Expect

LGD Price list grid LGD Prices – Not What You Might Expect

After a very long period of slow development and use, we are now at the stage where a walloping leap occurs as market adoption of lab-grown takes place. After an initial 30-40% drop in wholesale prices, prices of LG goods below 1-ct keeps falling, while larger goods are steady. Oh, and there is a LGDs transaction price list!

Although Sliding, Jewelry Retail Prices Remain High

Although Sliding, Jewelry Retail Prices Remain High

After reaching a historic record high in 2017, consumer prices of fine jewelry have softened so far in 2018. However, jewelry retail prices are still high, which may explain a number of consumer trends. Are these prices fueling demand for lab-grown? We know that the US market is very price sensitive, and that dictates polished diamond prices, as well as …

The US Jewelry Market Is Much Smaller Than You Think

The US Jewelry Market Is Much Smaller Than You Think

Anyone who has ever done a back-of-the-envelope calculation of the US fine jewelry market in the past few years arrived at figures that were far below the official numbers published by the US government. The differences were so wide that the government figures were downright puzzling. Recently, the US government has revised ten years of market estimates, dating all the …