Toronto-based high-end jewellery retailer Harry Winston Diamond Corp, which also owns a 40% interest in the Diavik diamond mine, in Canada's Northwest Territories, increased sales by 22% in the year ended January 31, to $679,3-million, the firm said.

“Demand for our highly designed jewellery continues to be very strong despite uncertain domestic economic conditions,” said president Thomas O'Neill.

“We have experienced a noticeable shift in our customer base from what had been a US-dominated market to one where the US customer accounts for one third of our global sales.”

Prices had risen in line with demand during the year, with the lower-quality ranges of polished diamonds benefiting from the continuing scarcity of larger, better-quality goods, the company said.

Harry Winston (formerly knownn as Aber Diamond) has established a firm presence in China and is keen to grow its business in India and the Middle East, O'Neill said on a conference call.

Despite economic worries in the US, the company could “look forward to a year of growth in global diamond demand,” added chairperson and CEO Robert Gannicott.

Fourth quarter sales rose 22%, to $188,2-million and net income increased to $90,4-million, from $27,3-million a year earlier.

Diavik, which is operated by diversified miner Rio Tinto, produced 11,9-million carats in the 2007 calendar year, 22% more than in 2006.

Shares in Harry Winston gained 2,85% on Tuesday, to C$27,05 a share in Toronto.

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