Covid-19 in India limited rough diamond sales: De Beers

De Beers, says sales in its fourth cycle fell down by almost 16% as India, where the majority of stones are polished, grapples with a rampant Covid-19. About US$380mln of rough diamonds were sold in De Beers Group’s fourth sales cycle of 2021, it said.

“We continue to see robust demand for diamond jewellery in the key US and China consumer markets,” said Bruce Cleaver, chief executive of De Beers. “However, the scale of the second wave of COVID-19 in India, where the majority of the world’s diamonds are cut and polished, has led to reduced midstream capacity and subsequently lower rough diamond demand, during what is already a seasonally slower time of year for midstream purchases.”

De Beers sold US$450mln of rough diamonds in its third sales cycle of 2021, revised upwards from its provisional figure of US$440mln, and US$56mln in its fourth/fifth sales cycle of 2020.

The provisional figure quoted for the fourth cycle represents the expected sales for the period May 3-18 and is subject to adjustment based on final completed sales.

Owing to the restrictions on the movement of people and products in various jurisdictions around the globe, De Beers continued to implement a more flexible approach to rough diamond sales during the fourth sales cycle, extending the event beyond its normal week-long duration.

De Beers is the world’s largest diamond supplier by value.

Courtesy: Proactive Investors