Alrosa suspends diamond allocations for Sept-Oct
NEW DELHI - Russian diamond producer Alrosa has suspended rough diamond supply for September and October after a request from India's leading trade body, the Gems and Jewellery Export Promotion Council (GJEPC) said on Wednesday.
The move aims to avert a supply glut in the global market and aid diamond prices amid weak demand, GJEPC chair Vipul Shah told Reuters. The trade body had reached out to several global mining companies earlier this month to raise concerns on issues impacting diamond trade, he added.
Shah also said the GJEPC had communicated with top diamond producer De Beers, a unit of Anglo American, which had pledged to "provide complete flexibility to all their clients."
De Beers said separately it "will continue to take a responsible approach to rough diamond sales, supplying to demand, and will focus on additional supply flexibility."
Flexibility includes purchase deferrals and buybacks.
Sanctions-hit Alrosa declined to comment.
The news comes as the Group of Seven (G7) countries is expected to announce an import ban on Russian diamonds in the next two or three weeks to tighten a squeeze on Russia's capacity to finance the war in Ukraine.
The plan could transform the global diamond supply chain, but implementation will depend heavily on India, whose diamond industry employs millions of people who cut and polish 90% of the world's diamonds.
India's gems and jewellery exports fell nearly 4.4% by value between April to August this year to $12.4-billion from last year, according to government data released last week.
Exports fell on relatively muted demand for polished diamonds from nations such as the United States and China, Shah said.
It's too early to say whether the two-month halt will help prevent overstocking adequately, he added, amid the shutdown of manufacturing centres in India during the Diwali festival in November.
Comments
Research Reports
Projects
Showroom
BOVA cemented their reputation in Africa by delivering high quality engineering through their range of safety footwear. 21 years after producing...
VISIT SHOWROOM
Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
