De Beers CEO Al Cook predicts gradual recovery for natural diamonds in 2024

Cook highlights De Beers’ long-term investments in technology and sustainability as crucial factors driving ongoing growth in the sector

Mumbai: Despite the challenges faced in 2023, De Beers CEO Al Cook forecasts that 2024 will signal the beginning of a recovery for the natural diamond market, although the rebound is expected to be gradual.

Cook pointed out a significant market shift, noting a sharp decline in the popularity of lab-grown diamonds. This downturn has led retailers to reassess their strategies, as the profit margins on natural diamonds now considerably exceed those of lab-grown options, prompting a renewed focus on natural stones.

He also discussed the repercussions of sanctions on Russian diamonds, which have significantly altered market dynamics. In response, De Beers is revamping its marketing strategies to emphasize the unique stories behind natural diamonds, thereby reinforcing their value and appeal.

Looking to the future, Cook remains optimistic, highlighting De Beers’ long-term investments in technology and sustainability as crucial factors driving ongoing growth in the sector.

In the Indian context, De Beers Group and jewellery retail brand Tanishq recently announced a long-term collaboration to promote the sale and consumption of natural diamonds and grow the Indian market for the precious stone.   The demand for natural diamond jewellery from Indian consumers has surged recently and now represents 11% of global demand. This has seen India replace China as the second largest market in the world for natural diamond jewellery, the entities said.  With diamond acquisition rates in India well below those in mature markets such as the US, this provides a significant opportunity to catalyse further growth for natural diamond jewellery in India, they added.  Tanishq which retails jewellery to about 3.5 million customers a year expects its consumer base for natural diamond studded jewellery to easily double from the current 1 million in the coming years.     The partners said they would focus to enhance consumer education, interest and confidence, and to promote natural diamonds across India. The collaboration will focus on building extensive consumer outreach, deepening capabilities of Tanishq’s retail staff to communicate about natural diamonds

Retail Jeweller India News