AuctionsNov 20, 2025
Vanderbilt Jewels Shine at Phillips Sale, Pink Diamond WithdrawnA 43-carat sapphire brooch from the Vanderbilt collection was the top lot of the Geneva sale.
SourcingDec 16, 2019
De Beers’ Sales Drop 26%, Production Forecast Cut for ‘20
Parent company Anglo American said it’s been a “tough market” for diamonds.
A shot of Orapa, one of the diamond mines De Beers Group operates in Botswana. Parent company Anglo American cut its production forecasts for the miner for fiscal years 2020 and 2021. (Photo courtesy of De Beers Group)
London—De Beers Group parent company Anglo American Plc said the diamond miner’s sales fell 26 percent this year amid “challenging market conditions,” and it’s lowering its sights on production in the near future.
In an update for investors and analysts released last week, the London-based company said De Beers is expected to mine approximately 31 million carats of diamonds in 2019, down 11 percent from 35 million last year.
Prices on a full-year basis have dropped about 20 percent while the diamond price index is down about 5 percent.
De Beers’ mix is down in terms of quality (by price) about 15 percent, due in part to the company holding back some higher-quality goods in hopes market conditions improve.
On a call with analysts held in conjunction with the update, Anglo Chief Executive Mark Cutifani said it has been a “tough market” for diamonds.
In an email to National Jeweler, De Beers spokesman David Johnson elaborated on what made 2019 so tough for the miner.
He said a weak 2018 holiday season meant retailers did not need to restock early in the year.
This created an “amplified impact on demand up through the value chain,” affecting diamond manufacturers, who continue to struggle to secure financing for their operations, and mining companies like De Beers.
That’s why De Beers sold less rough in 2019 and has cut its production forecast for the next couple years.
Johnson said De Beers’ struggles are not the result of losing market share to lab-grown diamonds.
“The lab-grown diamond market remains very small compared with the natural diamond market (around 1-2 percent of the size of the natural diamond market), and all our research shows that consumers see natural diamonds and LGDs as different product categories, suited to different occasions.
“As noted above, consumer demand for diamond jewelry has been broadly stable compared with last year, and the changes in our rough diamond sales and production outlook are a result of the midstream challenges we’ve seen, rather than being related to anything at the consumer level of the industry.”
Anglo’s Cutifani said on the call he is waiting until the first couple sales of 2020 to make predictions about next year.
“We’ve certainly seen a little bit of improvement later in the year. I think the best thing to say is the first couple of sights in the new year will be, I think, a
better point in terms of how that market is going.
“We’ve seen some encouragement, but I think it’s still a little too early to bank that in any more of a substantive sense.”
Bain & Co. said in its annual diamond report released last Wednesday that 2020 will be “a better year” for the industry but doesn’t expect a full recovery until 2021.
Anglo has cut its diamond production forecast for the next two years.
In 2020, it expects De Beers will mine 32-34 million carats, down from its previous outlook of 33-35 million. For 2021, the forecast was cut from 35-37 million carats to 34-36 million carats.
Production guidance for FY 2022 is 33 to 35 million carats.
Anglo executives also gave a brief update on Chidliak, a potential diamond mining site on Canada’s Baffin Island that De Beers bought from Peregrine Diamonds Ltd. in September 2018.
Cutifani said the company is currently examining some different technologies for mining diamonds on the cold, remote island and likely will give a progress update on the project in mid-2020.
“More generally, in De Beers the focus is obviously on market and how we’re positioning in the marketplace,” he said. “Again, we think there’s some encouraging signs, but we don’t want to talk to those too early, so we’ll wait and see the first few sights next year.”
On a whole, Anglo American, which also mines platinum and copper, said it expects production to be up 1-2 percent year-over-year in 2019.
In 2020, it forecasts a 3 percent increase in production, aided in part by the diamond market “coming back to balance,” Finance Director Stephen Pearce said.
“We’ve seen some encouragement, but I think it’s still a little too early to bank that in any more of a substantive sense.”
Bain & Co. said in its annual diamond report released last Wednesday that 2020 will be “a better year” for the industry but doesn’t expect a full recovery until 2021.
Anglo has cut its diamond production forecast for the next two years.
In 2020, it expects De Beers will mine 32-34 million carats, down from its previous outlook of 33-35 million. For 2021, the forecast was cut from 35-37 million carats to 34-36 million carats.
Production guidance for FY 2022 is 33 to 35 million carats.
Anglo executives also gave a brief update on Chidliak, a potential diamond mining site on Canada’s Baffin Island that De Beers bought from Peregrine Diamonds Ltd. in September 2018.
Cutifani said the company is currently examining some different technologies for mining diamonds on the cold, remote island and likely will give a progress update on the project in mid-2020.
“More generally, in De Beers the focus is obviously on market and how we’re positioning in the marketplace,” he said. “Again, we think there’s some encouraging signs, but we don’t want to talk to those too early, so we’ll wait and see the first few sights next year.”
On a whole, Anglo American, which also mines platinum and copper, said it expects production to be up 1-2 percent year-over-year in 2019.
In 2020, it forecasts a 3 percent increase in production, aided in part by the diamond market “coming back to balance,” Finance Director Stephen Pearce said.
More on Sourcing
The Latest
CollectionsNov 20, 2025
Rebecca Rau Jewels Debuts With ‘Then & Now’ CollectionRau is a fourth-generation art and antique dealer from M.S. Rau gallery whose first jewelry collection merges artifacts with modern design.
Policies & IssuesNov 20, 2025
RJC Names New Executive DirectorFormer De Beers sustainability leader Purvi Shah will take over the role in February 2026.
Brought to you by
Impacting Tomorrow TodayHow Jewelers of America’s 20 Under 40 are leading to ensure a brighter future for the jewelry industry.
WatchesNov 20, 2025
LVMH Takes Minority Stake in Citizen Group-Owned Movement Maker La Joux-Perret is based in La Chaux-de-Fonds, Switzerland, and makes solar quartz as well as mechanical watch movements.
Weekly QuizNov 20, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
GradingNov 20, 2025
Julia Griffith Joins SSEF as Head of EducationShe previously taught at Gem-A and is the founder of The Gem Academy.
CollectionsNov 19, 2025
Larkspur & Hawk Celebrates 25 Years With Helena Bonham Carter CampaignThe British actress and her daughter modeled pieces from the brand’s new “Palette” capsule for its “Once Upon a Time” holiday campaign.
Brought to you by
Roseco Releases New Full-Line CatalogRoseco’s 704-page catalog showcases new lab-grown diamonds, findings, tools & more—available in print or interactive digital editions.
TechnologyNov 19, 2025
Google Has a New Form for Reporting ‘Review Bombing’ Attacks Plus, the tech giant shares the steps retailers should take if they believe they’re a victim of a review extortion scam.
IndependentsNov 19, 2025
Houston Jeweler Keith Shaftel Retires, Next Generation Steps In Danny and Gaby Shaftel are now Shaftel Diamonds’ CEO and chief operating officer, respectively.
TrendsNov 19, 2025
Midas Chain Releases 2025 Holiday Style GuideThe jewelry manufacturer’s seasonal offering features its new “Melodie” bangles, as well as mini stud earrings and layering pieces.
Events & AwardsNov 18, 2025
NYC Jewelry Week 2025: 12 Must-See EventsWith more than 140 activations taking place in New York City now through Nov. 23, these 12 events are can’t-miss moments.
MajorsNov 18, 2025
Lugano Diamonds Files for Bankruptcy, Looking for BuyerThe Chapter 11 filing follows the resignation of CEO Moti Ferder, who stepped down after an investigation into the company’s finances.
Events & AwardsNov 18, 2025
A Giant, Bejeweled Moldy Berry Is on Display in LAThe artwork is part of an exhibition featuring works by Kathleen Ryan, an artist known for her gemstone-studded rotting fruit sculptures.
CrimeNov 17, 2025
Police Searching for 2 Suspects in Murder of Father, Son Jewelers Faustino Alamo Dominguez and his son, 25-year-old Luis Angel Alamo, were gunned down following an armed robbery at their jewelry store.
GradingNov 17, 2025
IGI Announces New President of North AmericaTiffany & Co. veteran Jeffrey Bennett has stepped into the role.
MajorsNov 17, 2025
Look Inside Robbins Brothers Fine Jewelers’ New Pasadena FlagshipThe showroom is located in a historic 1920s building in the Playhouse District.
Policies & IssuesNov 14, 2025
U.S., Switzerland Reach Deal That Drops Tariff to 15%The Swiss government announced the deal, which cuts the tax on Swiss imports by more than half, on social media Friday morning.
AuctionsNov 14, 2025
Napoleon’s Diamond Brooch Blows Away Auction Estimates A buyer paid $4.4 million for the piece, which Napoleon wore on his hat for special occasions and left behind when he fled Waterloo.
FinancialsNov 14, 2025
Richemont’s Q2 Jewelry Sales Up 12%Plus, how tariffs and the rising price of gold are affecting its watch and jewelry brands.
CollectionsNov 14, 2025
Piece of the Week: Silvia Furmanovich’s ‘Butterflies in Flight’ Jewelry BoxFurmanovich designed the box to hold Mellerio’s “Color Queen,” a high jewelry collection consisting of 10 rings.
Events & AwardsNov 14, 2025
JCK Names New Event DirectorJennifer Hopf, who has been with JCK since 2022, will lead the execution of the long-running jewelry trade show.
IndependentsNov 13, 2025
127-Year-Old New Orleans Jeweler to CloseAdler’s Jewelry is set to close its two stores as 82-year-old owner Coleman E. Adler II retires.
IndependentsNov 13, 2025
Green Lake Jewelry Works to Move to New Seattle StudioFounder Jim Tuttle shared how a dedication to craftsmanship and meaningful custom jewelry fueled the retailer’s double-digit growth.
MajorsNov 13, 2025
Vahan Jewelry Founder Leon ‘Sacha’ Der Calousdian Dies at 85The third-generation jeweler is remembered as a passionate creative with a love of art, traveling and sailboat racing.
CrimeNov 12, 2025
Father, Son Jewelers in Chicago Victims in Double Homicide JSA and Cook County Crime Stoppers are both offering rewards for information leading to the arrest of the suspect or suspects involved.
AuctionsNov 12, 2025
‘Mellon Blue’ Diamond Sells for $7M Less Than It Did a Decade AgoA buyer paid $25.6 million for the diamond at Christie’s on Tuesday. In 2014, Sotheby’s sold the same stone for $32.6 million.
