Multiple industry sources report that De Beers has secretly offered rough diamond discounts of 10% to 20% to a select group of sightholders, a departure from its usual practice of uniform pricing. These “secret deals” have not been officially confirmed by De Beers but are widely discussed within the industry.

The selective discounts appear aimed at quickly moving inventory and generating cash flow, given the company’s financial losses and pressure from Anglo American to improve performance.

Market Reaction: This selective discounting is unprecedented for De Beers and risks alienating sightholders who were not offered these preferential terms, potentially undermining trust and long-term relationships within its customer base.

The company is attempting to reduce a rough diamond stockpile estimated at $2 billion, the largest since the 2008 financial crisis, as global demand remains weak and manufacturers are hesitant to restock.

 De Beers’ consolidated rough diamond revenue for the first two sights of 2025 dropped 44% year-over-year, with the average realized price per carat falling by 38%. The company has also cut its 2025 production forecast by up to 40%, now targeting 20–23 million carats, down from an initial 30–33 million.

Strategic Implications

Short-Term Cash Flow:

Long-Term Risks: The lack of transparency and favoritism in discounting could damage De Beers’ reputation for fairness and erode the loyalty of sightholders not included in the deals. This could have lasting effects on its ability to maintain a stable, committed customer base.

Industry Impact: The move signals ongoing distress in the natural diamond sector, with persistent oversupply, weak demand, and heightened competition from lab-grown diamonds contributing to industry-wide price declines.

Conclusion

De Beers’ decision to offer significant, selective discounts on rough diamonds marks a notable shift in its sales strategy, reflecting the severity of current market challenges. While this may provide short-term relief in reducing stockpiles and supporting cash flow, it introduces risks to long-term customer relationships and market stability. The industry will closely watch how De Beers manages these tensions and whether transparency and trust can be restored among its sightholders.

Related

How might these discounts impact De Beers’ long-term relationships with sightholders

What are the potential risks for De Beers if these discounts become public

How does De Beers determine which sightholders receive these special discounts

What strategies can De Beers use to manage the stockpile effectively

How might these discounts affect the overall diamond market