DiamondBuzz
Lesotho’s Largest Diamond Mine Faces Imminent Closure Without State Tax Relief
Government Refusal to Waive Taxes and Royalties Threatens 750 Jobs and 10% of National GDP Amid Diamond Price Collapse.
The Kao Diamond Mine, Lesotho’s largest diamond operation and a crucial contributor to the national economy, is facing imminent closure within weeks, according to operator Storm Mountain Diamonds (SMD). The company, which is 75% owned by Namakwa Diamonds Limited and 25% by the Government of Lesotho (GOL), has issued a dire warning, appealing for urgent financial relief to avoid shutdown.
The crisis is driven by a steep global decline in diamond prices and demand, coupled with a deepening dispute over tax and royalty obligations.
- Financial Strain: SMD’s revenue has plummeted, with 2024 sales hitting only $50 million from approximately 250,000 carats sold—less than half of its $105 million revenue in 2022.
- Urgent Need: The company requires approximately $13 million in new investment to maintain operations over the next year.
- Regulatory Deadlock: SMD claims the Lesotho Revenue Services (LRS) has breached binding original mining agreements by imposing higher tax rates, restricting deductions, and withholding VAT refunds. This lack of a stable regulatory environment is deterring potential investors.
- Sought Relief: SMD has formally requested the GOL to suspend tax assessments and waive royalty payments to secure the necessary investment and extend the mine’s lifespan.
Economic Fallout:
The potential closure poses a significant threat to Lesotho’s economy. The diamond mining sector accounts for around 10% of the country’s GDP and up to a quarter of its total exports by value. The shutdown would result in the loss of approximately 750 jobs and could severely undermine investor confidence in one of Southern Africa’s key mining industries.
The GOL faces a difficult decision: offering assistance to a company in which it is a direct shareholder while managing public perception and the demands of its tax authority. Industry analysts warn that a failure to reach an agreement swiftly could trigger a major economic and employment blow.
DiamondBuzz
De Beers Group Launches “Heera Hai Aapke Liye” Program at IIJS Bharat Signature to Revolutionize Natural Diamond Accessibility in India
De Beers Group, the world’s leading diamond company, marked a significant milestone in the Indian jewellery landscape with the official launch of the “Heera Hai Aapke Liye” program at IIJS Signature. The star-studded event featured actress Sonakshi Sinha, who joined Shweta Harit, Global Senior Vice President of De Beers Group and CEO of Forevermark, to unveil an initiative dedicated to making natural diamonds an integral part of daily life for the modern Indian consumer.



The “Heera Hai Aapke Liye” (Diamonds are for You) program is strategically designed to promote natural diamonds by raising awareness, boosting market visibility,and creating a seamless connection between retailers and consumers. With a focus on modern designs and attractive price points, the program also lets local retailers use De Beers Group campaigns as their own—second-piercing earrings, ‘Bestie’ bracelets, and ‘Intention’ pendants. It positions diamonds as a lifestyle choice for self-expression and daily wear.

Speaking at the launch, Shweta Harit, Global Senior Vice President of De Beers Group and CEO of Forevermark, detailed the evolution of the brand’s storytelling, stating, “De Beers Group has a rich legacy of creating iconic ritual campaigns that have shaped how the world perceives diamonds. With ‘Heera Hai Aapke Liye,’ program we are evolving that narrative for the Indian market to another level.
We are not just selling jewellery, we are making natural diamonds more accessible and desirable in India. Our goal is to empower retailers through INDRA (Indian Natural Diamond Retailer Alliance) to ensure that every ‘First Diamond’ journey is as credible as it is beautiful.”

Speaking on the occasion, Kirit Bhansali, Chairman, Gem & Jewellery Export Promotion Council (GJEPC), said, “IIJS has always been a powerful platform for shaping the future of India’s gem and jewellery industry, and the launch of ‘Heera Hai Aapke Liye’ at IIJS Signature reinforces that role. GJEPC is proud to partner with De Beers Group on the INDRA (Indian Natural Diamond Retailer Alliance) project, which is a critical step towards strengthening domestic demand for natural diamonds.
By empowering retailers, enhancing consumer confidence, and expanding access across metros and Tier 2 markets, this initiative aligns perfectly with our vision to grow the natural diamond category sustainably within India.”
The program ‘Heera Hai Aapke Liye’, rests on few strategic pillars aimed at industry growth and scalability:
- Stocking & New Consumer Opportunity: Identifying gold wholesalers and distributors across 15–20 cities to focus on a first-phase target of 500 retailers.
- Retailer Advantage: Providing a “Design Advantage” and strict “Product Hygiene,” backed by a clear buy-back policy and robust training and marketing support via the INDRA alliance.
- Heera Hai Aapke Liye is robust entry-level product kit featuring earrings, bangles, bracelets, etc supported by exclusive visual merchandising (VM) for display.
- Growth and Scalability: A PAN-India reach strategy designed to unlock new business opportunities for both manufacturers and retailers.


As India continues to grow as the world’s second-largest market for retail diamond jewellery, De Beers Group remains committed to strengthening the natural diamond narrative. By combining the emotional appeal of natural diamonds with the practical “Heera Hai Aapke Liye” framework, De Beers aims to build a sustainable future for the category across both metros and Tier 2 cities. De Beers and GJEPC aim to expand the base of Natural Diamond buyers, increase self-purchase consideration, and establish long-term credibility for the category.
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