Diamond Industry

The economy of the diamond industry untangled. Thorough analysis, granular data, and background on the diamond market. All this put in context with clarity.

What is the Diamond Industry?

In some ways, it is an industry just like any other despite the aura of an industry shrouded in mystery. It needs to satisfy consumer demand, promote the retail category, address technical problems, and secure financing to operate and grow.

It is also a unique one. It faces very certain expectations from consumers and governments alike. The modern diamond business is highly skilled and involves heavy use of technology and innovation. And yet, it is very traditional, relying heavily on a backbone of family structure, and it is highly fragmented compared to other industries.

Why is There a Diamond Industry?

It is human nature to desire to be decorated. Jewelry arose as a way to look better, to make a statement about who you are culturally, to declare your financial status, and to reveal your marital standing. Diamonds have been part of this storytelling for hundreds of years.

Ever since they were first dug along riverbanks in India and Brazil, the yearning for diamonds has grown to the point that a sophisticated value chain be developed to satisfy this demand. Although the iconic ”a diamond is forever” marketing campaign is no longer running, desire for diamonds remain high. Most people, of practically all ages and of nearly all cultures, still covet diamond jewelry. And most buy it too.

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

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

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Ruin to Resurrection, the Perpetual Path

Ruin to Resurrection, the Perpetual Path - the diamond industry in the age of COVID-19 and after

The growing stream of bad news is threatening to engulf us like a depressing cloud of darkness, fueling a bleak outlook of ruin in the diamond industry. Yet, diamond jewelry demand has always re-surged as consumers sought solace and celebration. The following is a data-backed pep talk of resurrection.

Polished Diamond Prices Rise in January

Polished Diamond Prices Rise in January 2020 - featured image

Wholesale polished diamond prices rose in January in response to improved demand and lower wholesaler inventories. Wholesale prices of 1-carat round diamonds rose 3.7% MoM in January. US jewelry sales popped up 4.4% YoY in December, capping a slow year with sales rising just 0.7%.

The Golan Diamond Market Report – Q4 2019

The Golan Diamond Market Report Q4 2019

The Q4 2019 issue of the Golan Diamond Market Report reviews transaction polished diamond prices, changes in midstream inventory & demand, takes an in-depth dive in to the activity of the main diamond centers, with updates on prices and demand in the growing LGD market. All that, plus an exploration into consumer attitudes towards diamond jewelry and engagement rings, checking who is interested in LGD around the world.

This is How a Confusing Diamond Decade Played Out

This_is_How_a_Confusing_Diamond_Decade_Played_Out-Featured_photo_jeremy-thomas

What’s happened between the time the diamond industry clawed its way out of the Lehman Brothers crises to the current slump? Some surprising findings about the value of freshly mined rough diamonds, global trade, and jewelry retail.

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Diamond Industry Financing Is Shrinking. This Is What It Means

Diamond_Industry_Financing_Is_Shrinking-Nov_2019

Diamond industry financing has considerably declined over the last couple of years, hitting a 15 year low. The industry views this as unfavorable; yet, this can be debated. A recent $3 billion “savings” provided it with a rare opportunity to realign.