SourcingSep 15, 2023
‘A Diamond Is Forever’ Is Back Again, Backed by $20M SourcingSep 27, 2023
India Calls for 2-Month Moratorium on Rough Diamond Imports
The plea comes against a backdrop of declining demand and falling prices.
Five diamond industry leaders in India have signed onto a letter calling for a two-month halt on rough diamond imports amid flagging demand for diamond jewelry and falling polished natural diamond prices. (Stock image ©De Beers Group/Photo credit: Ben Perry @ Armoury Films)
Mumbai, India—Diamond industry leaders in India are appealing to mining companies and the country’s manufacturers to stop importing rough diamonds for at least two months.
In the letter, they “suggested” manufacturers halt the import of rough diamonds from Oct. 15-Dec. 15 in response to the decline in diamond jewelry demand in the world’s two largest markets, the United States and China.
The letter also notes that Indian diamond leaders already have reached out to all the major diamond mining companies and asked them to support the industry with a “prudent and responsible approach in their offerings to their respective customer base.”
It states: “We have witnessed that mining companies are regularly selling the rough diamonds that are being mined, irrespective of the state of demand in the midstream. They believe that the midstream is a mature segment of the pipeline and will only purchase rough diamonds if there is real demand.
“In other words, they rely on the midstream to gauge the demand for rough diamonds and are happy to respond with corresponding levels of supply. This puts the onus on the midstream to transmit real levels of demand by translating our need for supply of rough diamonds to all mining companies.”
Alrosa, which remains under sanction in the U.S., agreed last week to cancel its September and October sales in response to a request from India’s Gem & Jewellery Export Promotion Council (GJEPC).
De Beers said it will continue to hold sights, focusing on “additional supply flexibility” for sightholders when needed.
The company said it will “take a responsible approach to rough diamond sales, supplying to demand and supporting both the short-term and long-term health of the industry, just as we have previously when faced with challenging industry conditions.”
Together, Alrosa and De Beers account for approximately 53 percent of the world’s production by volume and 59 percent by value.
Related stories will be right here …
In the letter, they “suggested” manufacturers halt the import of rough diamonds from Oct. 15-Dec. 15 in response to the decline in diamond jewelry demand in the world’s two largest markets, the United States and China.
The letter also notes that Indian diamond leaders already have reached out to all the major diamond mining companies and asked them to support the industry with a “prudent and responsible approach in their offerings to their respective customer base.”
It states: “We have witnessed that mining companies are regularly selling the rough diamonds that are being mined, irrespective of the state of demand in the midstream. They believe that the midstream is a mature segment of the pipeline and will only purchase rough diamonds if there is real demand.
“In other words, they rely on the midstream to gauge the demand for rough diamonds and are happy to respond with corresponding levels of supply. This puts the onus on the midstream to transmit real levels of demand by translating our need for supply of rough diamonds to all mining companies.”
Alrosa, which remains under sanction in the U.S., agreed last week to cancel its September and October sales in response to a request from India’s Gem & Jewellery Export Promotion Council (GJEPC).
De Beers said it will continue to hold sights, focusing on “additional supply flexibility” for sightholders when needed.
The company said it will “take a responsible approach to rough diamond sales, supplying to demand and supporting both the short-term and long-term health of the industry, just as we have previously when faced with challenging industry conditions.”
Together, Alrosa and De Beers account for approximately 53 percent of the world’s production by volume and 59 percent by value.
The call to temporarily halt rough diamond imports comes as the decline in demand for diamond jewelry has left Indian companies with more polished natural diamonds in a market where prices are falling.
It is the third time industry leaders in India have made such a plea. The first was in 2008 during the global financial crisis, and the second came in 2020 during the COVID-19 pandemic.
As Stephen Rego reported for National Jeweler’s September 2023 India Diamond Report, the country’s polished diamond production is well below the levels recorded last year, signaling an end to the halcyon days the industry witnessed in the immediate wake of COVID.
According to figures released by the GJEPC, in the first five months of the Indian fiscal year (April to August 2023), exports of polished diamonds have fallen 30 percent year-over-year in value terms and are down 28 percent in volume terms.
Ajesh Mehta of D. Navinchandra Exports, who is also head of GJEPC’s Diamond Panel Committee, told Rego that while manufacturers expected a drop-off in U.S. demand, the global slowdown has been deeper and wider than anticipated due in large part to stagnant demand in China.
In the letter, the industry leaders provided examples of the various initiatives under way to help stimulate natural diamond demand, including the GJEPC’s gala at the recent Hong Kong show, the new dedicated diamond section at the India International Jewellery Show, and the efforts of the Natural Diamond Council, which just unveiled its latest campaign.
De Beers also is looking to generate demand for natural diamonds this holiday season by reviving and refreshing its “Seize the Day” campaign from the 1990s.
“We have no doubt and remain confident that we will address and improve long-term demand in this precious and rare natural resource, but at the same time, we must navigate the short term carefully,” the letter states.
Editors' Picks
Sponsored by
The leaders of five key Indian diamond industry organizations signed the letter: GJEPC Chairman Vipul Shah, Bharat Diamond Bourse President Anoop Mehta, Mumbai Diamond Merchants Association President Bharat Shah, Surat Diamond Bourse Chairman Vallabhbhai Patel, and Surat Diamond Association President Jagdish Khunt.
The letter calls for revisiting the proposed ban on rough imports on Dec. 1 to gauge if the supply/demand situation has improved.
It also noted that Indian diamond manufacturers should continue their operations without interruption despite the ban on rough imports, and that measures should be taken to ensure the moratorium doesn’t impact the livelihoods of the country’s many diamond factory workers.
“Having taken these steps, we have no doubt that we will come through these challenging times stronger than ever, as we all believe in the longer term consumer demand and value of this finite natural gift of love—diamonds.
“Let us act together in the collective interest of the Indian diamond industry so that we can confidently walk towards a better season ahead,” the letter concludes.
The letter calls for revisiting the proposed ban on rough imports on Dec. 1 to gauge if the supply/demand situation has improved.
It also noted that Indian diamond manufacturers should continue their operations without interruption despite the ban on rough imports, and that measures should be taken to ensure the moratorium doesn’t impact the livelihoods of the country’s many diamond factory workers.
“Having taken these steps, we have no doubt that we will come through these challenging times stronger than ever, as we all believe in the longer term consumer demand and value of this finite natural gift of love—diamonds.
“Let us act together in the collective interest of the Indian diamond industry so that we can confidently walk towards a better season ahead,” the letter concludes.
More on Sourcing
The Latest
SurveysApr 03, 2025
2025 Retail Sales to Grow More Slowly Amid ‘Uncertainty,’ Says NRFThe National Retail Federation expects retail sales growth to return to pre-pandemic levels as consumers continue to face inflation.
TrendsApr 03, 2025
Tallulah Willis Imbues Antique Engagement Ring With MagicThe 4-carat, old mine brilliant-cut diamond engagement ring was co-designed by Willis and New York City-based brand Karina Noel.
CollectionsApr 03, 2025
Buccellati to Open Immersive Exhibition in MilanThe multisensory experience, open April 8-13, will feature the brand’s silver creations among dream-like scenes of natural landscapes.
Brought to you by
The Heart of the Industry: Giving Bench Jewelers the Recognition They DeserveBench jewelers spend years honing their skills, Jewelers of America’s Certification validates their talents.
Policies & IssuesApr 03, 2025
Jewelers of America to Hold Webinar on TariffsThe virtual event will take place April 7 at 3 p.m.
Weekly QuizApr 03, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
CollectionsApr 02, 2025
Bea Bongiasca’s ‘Tarallo’ Collection Expansion Is a ZooThe pieces in “Animali Tarallo” portray animals from stingrays to elephants through portraits and interpretations of their patterns.
MajorsApr 02, 2025
Neiman Marcus’ Dallas Flagship Will Remain Open, For NowParent company Saks Global said the iconic location will be open through the holiday season as it decides what to do with the space.
Brought to you by
Natural Diamonds Should Mean MoreNatural diamonds mean more than lab-grown, but when every cut is ideal, they all look the same. Customers want more—Facets of Fire delivers.
Events & AwardsApr 02, 2025
Punchmark to Host Client WorkshopThe educational event will take place in Charlotte, North Carolina, this May.
IndependentsApr 01, 2025
Bergman Jewelers in Omaha Closing After 137 YearsThe independent jeweler first opened its doors in 1888.
MajorsApr 01, 2025
QVC Group to Cut 900 Jobs in the U.S.The layoffs come amid the TV shopping channel’s efforts to restructure and focus on live shopping through social media.
Events & AwardsApr 01, 2025
U.S. Antique Shows Adds Fall Show in FloridaThe debut event will take place in Miami’s Coconut Grove neighborhood this fall.
Events & AwardsApr 01, 2025
TJS to Host Discussion on Jewelry Industry’s Labor ShortageThe roundtable will take place May 17 ahead of the trade show’s welcome dinner.
CollectionsApr 01, 2025
Monica Rich Kosann Says ‘Good Grief’ in Peanuts Jewelry CollectionThe “Peanuts x Monica Rich Kosann” collection features the comic strip’s classic vocabulary across 10 bracelet designs.
Recorded WebinarsMar 31, 2025
Watch: What Do We Mean When We Say ‘Recycled’ Gold?Three industry experts dive into the complexities of the material often marketed as an “ethical” alternative for metal in jewelry.
TrendsMar 31, 2025
Amanda’s Style File: Dripping in DiamondsDiamonds are not only one of the most prominent gemstones, but the birthstone for those born in April.
MajorsMar 31, 2025
Lashbrook Expands Into Luxury Golf Gifts With AcquisitionThe Utah-based company known for making wedding bands has acquired Doubloon Golf.
WatchesMar 31, 2025
Bulgari CEO Jean-Christophe Babin Will Also Head LVMH WatchesThe longtime luxury executive led one of LVMH’s watch brands, TAG Heuer, for 12 years before taking over Bulgari in 2013.
CrimeMar 28, 2025
2 Suspects Arrested in $1.7M Smash-and-Grab Robbery of NY Jewelry StoreAuthorities said the robbers fled with jewelry and 70 Rolex watches, later taking pictures of themselves posing with big stacks of cash.
SourcingMar 28, 2025
19th-Century Jade Book Now Available in EnglishLotus Gemology founder Richard W. Hughes has translated Heinrich Fischer’s 1880 book “Nephrit und Jadeit” from its original German.
CollectionsMar 28, 2025
Piece of the Week: Löf’s ‘The Valentine’ RingThe ring's design features contrasting lines influenced by work from architecture-inspired photographer Nikola Olic.
SurveysMar 27, 2025
Consumer Confidence Falls in March Amid ‘Gloomy’ OutlookThe Conference Board’s index fell as consumers continued to worry about the impact of tariffs, the labor market, and the price of eggs.
AuctionsMar 27, 2025
300-Year-Old Ring Linked to Witch Trial Judge Goes Unsold at Auction However, two medieval jewels surpassed estimates at Noonans Mayfair’s recent jewelry auction in London.
WatchesMar 27, 2025
Austin Butler Joins Breitling as Brand AmbassadorThe Oscar-nominated actor debuted in the campaign for the new “Top Time B31” collection, which introduced Breitling’s Caliber B31.
SourcingMar 27, 2025
Susan Jacques, Gaetano Cavalieri to Headline 2025 ICA Congress The Congress is scheduled to take place May 19-22 in Brasilia, Brazil.
IndependentsMar 26, 2025
Bailey’s Fine Jewelry Acquires Fellow NC Independent JewelerThe family-owned retailer is the new owner of Morrison Smith Jewelers in Charlotte, North Carolina.
WatchesMar 26, 2025
Bulova Celebrates 150th Anniversary With Art Deco WatchesThe “150 Art Deco” collection features a Miss America timepiece and a pocket watch from the brand’s Archive Series.
