DiamondBuzz
Diamond market roundup: Domestic and overseas demand increasing, Chinese buyers slowly returning
United States:Trading steady amid shortages in select categories. Market still memo-centric, with little inventory-buying. Retailers seeking 2.50 to 2.99 ct., F-H, VS-SI, rounds and fancies with no center black, paying premiums due to goods’ scarcity. Melee in demand. US February inflation better than expected at 2.8%.
Belgium:Mood improving following Hong Kong show. Dealers cautiously optimistic, as goods are starting to move. Large stones in short supply. Belgium polished exports for February down 24% year on year at $783.7 million, with volume declining 20% to 297,700 cts.
Israel:Market sentiment more positive after dealers report sales of 3 ct. and larger diamonds at Hong Kong show. Low inventories supporting prices, with some price increases in fancy shapes.
India:Manufacturers reporting better Hong Kong show than anticipated, boosting market mood. Domestic and overseas demand increasing. Chinese buyers slowly returning, especially for small goods, but quantity of purchases still limited. Polished production remains low, supporting prices and sales.
Hong Kong:
Industry reflecting on show, which beat expectations but was slow relative to pre-pandemic times. Many Indian trade buyers. Dealers following up on sale leads. Fair attracted purchasers from around the world, but few Chinese clients present. Demand was very specific, with exhibitors holding prices firm amid high replacement costs.
DiamondBuzz
South African Task Team To Help Struggling Diamond Producers
The South African Government Has Partnered With Mining Industry Leaders To Form A Joint Task Team Aimed At Saving Jobs and Supporting Diamond Producers Facing Severe Market Pressures.
The quick intervention follows major disruptions in the local sector, including Petra Diamonds placing its Finsch mine under business rescue and De Beers announcing a two-year production pause at Venetia, the country’s largest diamond mine.
In a parliamentary reply on October 26, Minister of Mineral and Petroleum Resources Gwede Mantashe confirmed that the team—which includes the Minerals Council South Africa and local diamond producers—will develop strategies to help mines survive current economic headwinds.
The immediate focus is finding practical solutions to protect operations across the entire sector, especially junior and small-scale miners who are being hit the hardest,
Key Industry Challenges
The local diamond sector faces a combination of falling global prices, rising operating costs, and intense competition from lab-grown synthetic diamonds. Official figures highlight the severity of the crisis:
Production Downturn: South African diamond output dropped 19.5% year-to-date through August.
Commodity Slump: According to Statistics South Africa, diamond mining was the weakest-performing mining sub-sector in August, with output falling 23.0% in the three months ending August compared to the previous three months.
Significant Mine Reductions: De Beers reported a 37% year-on-year drop in South African production for Q3 2026 (down to 418,000 carats) as operations wrap up ahead of Venetia’s pause. De Beers expects zero further production in South Africa for the remainder of 2026.
Price Pressures: Lower market values and a strong South African rand reduced average tender prices at the Finsch mine from $56 to $47 per carat, making ongoing operations unviable under current conditions.
The task team will focus on measures to ease cost pressures and address global market shifts. Further details regarding the team’s specific work plan, timelines, and financial resources will be announced as proposals are finalized.
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