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Learning Center  The Diamond Community The Diamond Market Around the World
The Diamond Market | The Diamond Market Around the World | Global Diamond Supply
Historically diamonds were only found in southern India, which led to their supremacy in world diamond production up to the 1700s. At present most commercial deposits are found in African namely South Africa, Namibia, Botswana, Democratic Republic of Congo, Angola, Tanzania, and Sierra Leone. There are also commercial deposits that are being mined in Australia, Canada, Siberia, and Brazil. As of 2004, Botswana was the top diamond producing country in terms of value with a total of US$2.94 million worth of diamonds mined. Russia produced the most diamonds in terms of carat with as much 35 million carats worth of diamonds mined but only having a total value of US$1.99 million.
In terms of companies, De Beers of course continues to be the top diamond producer both in terms of value and caratage. In the recent years its almost absolute power over the diamond industry is significantly on the decline. Two of De Beers’ largest competitors are Rio Tinto and BHP Billiton.
Diamond Distribution
Cutting Centers
Diamonds are bought by sightholders from the diamond producers and are then sent of to diamond cutting centers to be cut and polished before being sold as gemstones. The major diamond manufacturing centers are in Israel, Belgium, India (in Mumbai and Surat), and New York. There are also diamond centers in South Africa, Botswana, Russia, China, Sri Lanka, Thailand, Vietnam, and Mauritius. Cutting centers that have lower labor costs like India usually handle a larger number of smaller carat diamonds with much of the finished diamonds used for industrial purposes rather than as adornment for jewelries. More valuable diamonds or those with larger carats are usually sent to the traditional cutting centers like Antwerp, Amsterdam, New York, and Tel Aviv.
Bourses
After the diamonds have been prepared as gemstones they are then sold on bourses. Bourses are simply diamond exchanges. As of today there are only 24 registered diamond bourses around the world. Bourses have their own infrastructure, constitution and by-laws, and have strict requirements for membership. Wholesalers and retailers buy diamonds from these bourses. The bourses, however, control the release of diamonds and usually sell them only in relatively small lots. Some of the most prestigious bourses are: the Diamantclub van Antwerpen or “The Club”, the Beurs voor Diamanthandel or “The Diamond Casino”, the Vrije Diamanthandel, the Antwerpsche Diamantkring dealing specifically with rough diamonds, the New York's Diamond Dealers Club, the Israel Diamond Exchange, the Diamond Club of Singapore which is the first Asian diamond bourse, the Hong Kong Bourse, the Diamond Club of Florida which is a gateway to Latin and South America, and Moscow's Russian Diamond Bourse.
Retail
After wholesalers and retailers buy the gemstones from bourses they then prepare them for final sale to the customers. Diamonds are usually sold set in jewelries but can also be sold unset. Unset diamonds or loose diamonds are becoming more popular among collectors who admire the diamond for itself.
Forecast
Analysts say that diamond prices will increase due to an expected fall in diamond production. It is expected to fall from an estimated 140 million carats today to around 130 million carats by 2010.
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