De Beers, one of the world’s leading diamond retailers, has difficulty closing supply gaps in the usual way of the past, as prices have risen in some rough diamond markets since Russia’s invasion of Ukraine. I feel that.
According to, the price of small rough diamonds has risen about 20 percent since the beginning of March. Bloomberg.. Price increases followed the war in Ukraine and the sanctions imposed by Washington on Alrosa, the Russian state-owned company that accounts for one-third of the world’s diamond production.
About 20 years ago, the De Beers vault in London had up to $ 5 billion worth of diamonds in stock. But now that’s not the case. The company currently holds only valid inventory in stock.
In addition, the mine is operating at full speed, and it is unlikely that significant additional supplies will be made before 2024. “It’s very hard to see us announcing a new piece,” CEO Bruce Cleaver told the media. “30 percent of the supply removed is not sustainable.”
Last month, Alrosa suspended the release of quarterly financial results and monthly sales data. A Russian company has “postponed” regular sales, according to Tomnes, a spokesman for the Antwerp World Diamond Center. However, he quoted “informal” communications and revealed that there were occasional “on-demand” sales to the city.
“Russian products are still flowing [into Belgium]”He told the jewelry media outlet. JCK.. “We know that it takes a very long time for a purchased item to arrive. All imports create a number of additional checks to ensure that the item arrives at its destination. It creates a difficult process, which, of course, entails extra risk, so you don’t know how much or how much. [volume has dropped].. “
In the US, Signet and Tiffany & Co. Famous jewelers such as have announced that they will stop buying diamonds mined in Russia. De Beers has taken steps to track products from mines to retailers to ensure that Western customers are informed that the diamonds they buy are not from Moscow.
“Traceability and pipeline integrity will accelerate from the war between Russia and Ukraine,” Cleaver said. Reuters.. “We are now able to prove it to consumers. We have been working on our history for 20 years.”
The company has also launched a blockchain platform that allows you to register and track rough diamonds every time you change hands. In 2021, De Beers recorded sales of $ 4.82 billion, half of which came from the United States. Due to Alrosa’s sanctions, De Beers’ sales and market share may rise in the coming months.
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Naveen Athrappully is a news reporter on business and global events in The Epoch Times.