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Canada Announces Tax Relief to Support Struggling Diamond Sector in Northwest Territories

Government steps in with targeted financial measures to stabilize region’s largest industry amid falling prices and market uncertainty.

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The Canadian government has introduced a series of tax-relief measures aimed at supporting the diamond-mining sector in the Northwest Territories, as the industry faces mounting financial challenges. The initiative seeks to preserve economic stability in a region where diamond mining contributes approximately 20% of its GDP, with major operations including Diavik, Ekati, and Gahcho Kué.

According to the Government of the Northwest Territories, the sector is currently under pressure from low global diamond prices, inflation, supply-chain disruptions, and emerging tariff impacts. These conditions have led to significant losses for mining companies. Mountain Province, co-owner of Gahcho Kué with De Beers, reported a $56.4 million net loss in 2024, while Ekati’s owner Burgundy Diamonds lost $94.7 million and Diavik operator Rio Tinto reported a $127 million underlying loss.

To address these issues, the government will double the number of local diamond valuations in 2025 and 2026, covering associated costs to help producers move rough stones to market more efficiently. A temporary reduction in the minerals tax rate will result in $11.2 million in property tax savings for the three mines. Additionally, funds previously set aside for carbon tax contributions will be released to ease cash flow constraints.

The government will also collaborate with Indigenous governments and development corporations to offer further infrastructure and transitional support.

“This is about protecting our economy from sudden shock,” said Caroline Wawzonek, minister of finance for the Northwest Territories. “These targeted, short-term supports are not about corporate profits — they’re about maintaining stability for the workers, families, communities, and Indigenous governments that rely on [the diamond] sector. Our government’s support must be directed to ensuring that Northwest Territory-based labor and businesses are protected in this challenging operating environment.”

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DiamondBuzz

De Beers Presents “Voyage Through the Diamond Realm” at India Art Fair 2026 Featuring Lakshmi Madhavan

Immersive Installation Blends Natural-Coloured Diamonds with Lakshmi Madhavan’s Kasavu Art at India Art Fair 2026

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De Beers unveiled “Voyage Through the Diamond Realm,” at India Art Fair 2026. The immersive installation invites audiences to explore the mythical origins of diamonds. Through visual storytelling, scenography and soundscapes, the installation reveals the living heritage of diamonds, their cosmic and earthly journeys across time.

Positioned at the intersection of art, nature and human expression, the experience acknowledges diamonds beyond adornment — recognizing them as treasured masterpieces shaped by billions of years of time, pressure, and transformation. The multi-sensory narrative, drew parallels between geological creation and artistic practice, revealing how nature, much like art, produces enduring expressions of beauty, rarity, and emotion.

Speaking on the installation and its India debut, Shweta Harit, Global Senior Vice President, De Beers Group, said, “Natural diamonds are among nature’s most extraordinary artworks, formed over billions of years, each one entirely unique. Presenting Voyage Through the Diamond Realm at India Art Fair feels fitting, diamonds are cultural artefacts, that inspire artistic dialogue which feels deeply relevant to India.

Our collaboration with artist Lakshmi Madhavan brings together two worlds of creation, one born deep within the earth, the other shaped by generations of human hands, while our association with India Art Fair reinforces our belief that art is a powerful lens through which material, heritage and meaning can be reimagined.”

Following its debut at Frieze Masters, London in 2025, the India edition underscored De Beers’ continued commitment to the country and deepened the narrative through a collaboration with contemporary artist Lakshmi Madhavan. Her installation featuring Kasavu, Kerala’s traditional gold-bordered handwoven textile, emerged as a compelling focal point.

Developed in collaboration with the Balaramapuram weaving community, the Kasavu installation served as a human counterpoint to the diamond. Together, diamonds and Kasavu revealed shared themes of time, continuity, craftsmanship and transformation.

Reflecting on the collaboration, Lakshmi Madhavan said, “I am truly excited to be part of this collaboration, which allowed me to work with a material that holds as much history, heritage, and cultural meaning as my core material — the Kasavu textile. Adornment emerged for me as one of the earliest human impulses, where materials gain meaning only in relation to the body.

Created in collaboration with the Balaramapuram Kasavu weaving community, the installation positions Kasavu as a human analogue to the diamond. Both materials carry histories of time and transformation and are activated through wear, touch and lived ritual.”

A unique highlight of the installation was the presentation of four exceptional natural-coloured diamonds — Pink, Orange, Light Blue and the rare Chameleon diamond, known for its remarkable ability to temporarily change colour to yellow when gently heated, before returning to its original hue. Displayed as individual expressions of geological artistry, the gems embodied the extraordinary diversity and rarity found in nature.

Adding to this showcase was a five-carat exceptional Forevermark diamond, accompanied by a ring design created by the Milan-based design team, offering interested collectors the opportunity to translate nature’s artwork into a contemporary piece of fine jewellery.

Presented in partnership with India Art Fair, the exhibition reinforced the role of collaborative platforms in expanding cultural dialogue and artistic awareness in India.

The opening reception drew a distinguished gathering from across film, art, design and culture. Among those in attendance were actor Khushi Kapoor, producer and fashion entrepreneur Rhea Kapoor, artist Ravi Vazirani, Yashwant Holkar, Lavina Baldota, designer Tahir Sultan, architect Khsuhnu Hoof among others.

Extending its engagement with India’s art ecosystem, De Beers also hosted an evening in collaboration with India Art Fair’s Young Collectors Programme.The event brought together emerging collectors, creative professionals and young cultural voices for an intimate experience of Voyage Through the Inner Realm, fostering dialogue around art, materiality and strengthening the foundations of India’s contemporary art landscape.

Through its presence at India Art Fair 2026, De Beers’ reaffirmed its commitment to cultural dialogue, craftsmanship and responsible luxury, positioning natural diamonds within a broader narrative where nature itself is the ultimate artist.

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