Diamond exports are not doing very well in most parts of the world. Exports of rough diamonds and polished diamonds are sagging. Let’s take a look at the countries that are taking the biggest hit during the diamond exports dip.
According to Rapaport, Belgium’s polished diamond exports dipped by as much as 4 percent year on year, which is equivalent to a loss of $1.19 billion. One of the reasons cited for the decline is the continued sagging of exports to big markets such as the U.S. and Hong Kong.
In terms of volume, exports were reduced to 458,735.12 carats while average price reached $2,587.06 for a 10 percent increase. Hong Kong remains the biggest partner of Belgium when it comes to diamond exports. Shipments to Hong Kong totaled $642.6 million in September amid the dip. Meanwhile, shipments to the U.S. totaled $202.8 million in the same period.
Israel’s diamond exports have suffered this year due to a slow demand from the U.S. Polished diamond trade fell by as much as 12 percent year on year, which is equivalent to $3.38 billion during the first three quarters of 2017. The volume of goods shipped also declined by 11 percent or equivalent to 1.297 million carats.
Like Belgium, Israel’s biggest markets are Hong Kong and the U.S. Exports to the U.S. went down by 15 percent while shipments to Hong Kong slid 3 percent. Overall, Israel’s net diamond account during the first nine months of 2017 declined by as much as 62 percent to $808 million.
Botswana’s rough diamond exports also had a dry spell in the first two quarters of 2017. Per The Diamond Loupe, rough diamond exports declined by 8.6 percent compared to the same period last year. Overall, Botswana’s exported rough diamonds recorded $1.65 billion in the first two quarters of 2017. Last year, the nation reached the $1.81 billion mark in Q1 alone and $2.21 billion in Q2.
However, if there is one country that is taking advantage of the situation, it is India. The polished diamond exports from the country recorded a 6 percent year-on-year surge, which is equivalent to $2.65 billion last month.
In terms of volume, exports reached 3.9 million carats or a 24 percent increase, but the average price slid to $677 per carat. Naturally, with the surge in exports, polished diamond imports went down by as much as 6 percent. Rough diamond imports also lacked momentum as a consequence of earlier-than-usual date of Diwali. This means manufacturers have made their purchases in August.
De Beers also recorded losses in the rough diamond sale. The De Beers Group revealed the total sold rough diamonds only reached $370 million during the eighth sales cycle this year. Compared to the seventh sales cycle in 2017, which yielded $507 million, and eighth sales cycle in 2016, which resulted to $494 million, the numbers are disappointing this time around.
“De Beers offered fewer rough diamonds for sale in Cycle 8, reflecting the concurrent timing this year of the Sight sale with the closure of polishing factories in India and Israel for the observance of religious holidays. Sales were in line with expectations, at what is a seasonally slower time for rough diamond demand,” says CEO Bruce Cleaver.
Experts believe the industry can bounce back as the winter holiday approaches.
What travelers need to know about connection times
When Robert Herbst's nonstop flight from New York to Raleigh, North Carolina, turned into a one-stop, he got worried.
The difference between active and passive investing
Navigating the stock market can be difficult. Here's a look at the pros and cons of passive and active investing.
Warning signs in the real estate market
The real estate market has played a significant role in the economic and financial crises over the past three centuries.
Restaurant investment review: Papa John’s (PZZA), Jack In The Box (JACK), West Coast Ventures Group Corp (WCVC)
Three restaurant stocks, PZZA, JACK, and WCVC, are likely to offer investors a growth opportunity as each takes a transformative...
5 growing career tracks with high demand for workers
These five career and employment fields continue to have a strong need for workers.