Diamond Business - Page 7 of 7

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:

Rio Tinto’s Diamond Sales +5.8% in 2014

Rio Tinto’s Diamond Sales +5.8% in 2014 The Argyle Pink Jubilee Diamond

A strong rise in rough diamond prices have led to an increase in Rio Tinto’s gross revenue from diamonds in 2014 despite a sharp drop in production. Gross revenue increased to $901 million, up 5.8% from $852 million in 2013. In 2014, the company mined 13.87 million carats, a 13% year-over-year decrease. The decrease coincides with the move from open-pit …

Japan’s Diamond Imports in 2014: Less for More

Japan's Diamond Imports in 2014: Less for More

Japan’s polished diamond imports edged up in 2014, however, the quantity of diamond imports by carat has declined, according to data recently released by the country’s ministry of finance. Japan is one of the world’s four largest diamond-jewelry consumer markets. In 2014, Japan’s gross polished diamond imports totaled $888.6 million, up 1.6% over the prior year. The average value of imports …

Specialty Jewelers’ Sales Tumble in November

Specialty Jewelers’ Sales Tumble in November 2014

November 2014 sales by specialty jewelers in the US declined 7.1% year-over-year to $2.73 billion, based on preliminary figures from the US Bureau of Labor Statistics.

Large December Sight

Sorted rough in bags. Photo: De Beers

As expected, De Beers has an uncharacteristically large December Sight. According to early estimates, the Sight this week offered ~$650 million worth of rough diamonds. There was very little ex-plan reported and box assortments are leaning towards smaller size goods, which possibly explains the somewhat lower prices.

ALROSA Returns to Dubai

Palm Dubai

ALROSA has reopened its ARCOS East DMCC sales office in Dubai in November after suspending activity in the emirate during the market downturn in 2009. In a press release published today, ALROSA said the decision to reopen is connected to the rapid growth of Dubai as a global diamond-trading center. Among the Russian diamond miner’s goals for the Dubai presence …

Rough Diamond Market Report: Subdued Market Ahead of Diwali

Even with a very small supply of rough diamonds from the major diamond suppliers De Beers and Alrosa during this diamond cycle, premiums in the secondary market were so low that in some categories it meant selling at a loss for the first hand buyers – the Sightholders and Alrosa clients. There are several reasons for this, the upcoming Diwali holiday …