RapNet


Rapaport News

 

Mining

 

Advanced search
Latest Articles
Videos
Features
News
Mining
Rough Markets
Polished Markets
Manufacturing
Retail

De Beers’ $370M Sight Reflects Slow Rough Market

Buying weakens due to holidays in India and Israel.
Oct 17, 2017 4:30 AM   By Joshua Freedman
Print Print Facebook Facebook Twitter Twitter Share Share


RAPAPORT...
 De Beers’ October sight closed with a value of $370 million as rough-diamond buying slowed due to holidays and sightholders reported a sluggish dealer market.

Proceeds from the miner’s eighth sales cycle fell 27% from $507 million in the previous sight in August, and dropped 25% compared with the equivalent period a year ago, according to Rapaport records. Rough prices were largely unchanged from the previous sight, sightholders noted, with many dealers on the secondary market struggling to make a profit on the goods or even cover costs.

De Beers offered fewer rough diamonds for sale during the month as last week’s sight occurred during a period when polishing factories in India and Israel were closed for religious holidays, the company’s CEO Bruce Cleaver explained Tuesday.

“Sales were in line with expectations, at what is a seasonally slower time for rough-diamond demand,” Cleaver added.

The Indian cutting industry is preparing to close for Diwali, which occurs this Thursday. Buyers brought rough purchases forward to the July sales cycle because of the relatively early date of the festival this year, De Beers noted at previous sights. The last two sights have both been significantly smaller than a year ago as a result.

Sightholders were optimistic about the end-of-year holiday season, even as De Beers’ rough sales have declined 7% to $4.38 billion for the year to date, Rapaport records show. Russian miner Alrosa echoed this positive outlook, also noting that the timing of Diwali had weakened sales in September.

“We expect the traditional revival of the market situation in the fourth quarter, as the industry starts to prepare for the winter holiday season,” Alrosa vice president Yury Okoyomov said last week.
Tags: Alrosa, Bruce Cleaver, De Beers, Joshua Freedman, Rough Diamonds, Sightholders, Sights
Similar Articles
StornowayStornoway Diamond Fears for Its Future
Aug 15, 2019
Stornoway Diamond Corporation has given a stern warningabout its ability...
Mountain Province Faces Nasdaq Delisting
Hong Kong Polished Imports Slide
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First



Call Us: 1-702-893-9400
Member License Agreement   RapNet Trading Rules & Code of Conduct    Privacy Policy  
  
twitter twitter
About Rapaport
Advertise with us