(everledger.io) - Tom Murphy, Everledger’s head of product, discusses the latest features of the Everledger Platform, which will support demand generation, sustainability and compliance for diamond retailers and manufacturers. The diamond industry took three body blows from the COVID-19 pandemic. Firstly, the lockdown shuttered many retailers on the high street. Diamonds are traditionally a bricks-and-mortar marketplace, so those without an established e-commerce offer were caught cold. Next, the economic downturn had an inevitable impact on sales, not least as the global $250 billion wedding industry was all but frozen due to social distancing. Finally, the cessation of airline travel has complicated supply chains and cancelled all international diamond shows – a crucial networking and sales window in the calendar. They may face additional disruption in the second half of the year, a sign that a V-shaped recovery is wishful thinking. The impact on the industry has shown some startling figures. Gemdax predicts that excess inventories at the largest diamond producers will reach $4.5 billion — or between 40 million and 50 million carats — by the end of the year. The COVID-related restrictions on the supply chain, and faltering consumer demand, will result in a drop in rough-diamond sales of 30% to 40% this year ($7 billion to $8 billion) according to Moody’s. Hope on the horizon?
