South Africa’s State Diamond Trader, which is permitted to purchase up to 10 percent of the country’s diamond production by volume and value, only managed to acquire 2 percent by volume and 3 percent by value of rough diamonds it inspected from nine producers during the course of 2015-2016.
The diamond trader said in its trading report obtained by Rough & Polished at the ongoing Mining Indaba in Cape Town that it purchased 451 000 carats during the period under review against a target of 552 000 carats.
It also sold 460 000 carats against a target of 574 000 carats during the period under review.
The diamond trader attributed its failure to achieve the budgeted purchases and sales to a lack of demand from beneficiators for rough diamonds from representative samples selected deemed not suitable for local beneficiation.
“Larger clients were unwilling to commit capital to purchasing rough diamonds when the demand for polished diamonds was weak and prices continued to decline,” it said.
Meanwhile, South Africa’s State Diamond Trader said the average price of diamonds it purchased was $194.71 per carat compared with $423 per carat, a year earlier.
“This reflects the execution of the sales strategy in which [we were] able to market those diamonds not preferred by clients to beneficiate. This enables [us] to supply suitable rough diamonds for local beneficiation,” it said.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
The diamond trader said in its trading report obtained by Rough & Polished at the ongoing Mining Indaba in Cape Town that it purchased 451 000 carats during the period under review against a target of 552 000 carats.
It also sold 460 000 carats against a target of 574 000 carats during the period under review.
The diamond trader attributed its failure to achieve the budgeted purchases and sales to a lack of demand from beneficiators for rough diamonds from representative samples selected deemed not suitable for local beneficiation.
“Larger clients were unwilling to commit capital to purchasing rough diamonds when the demand for polished diamonds was weak and prices continued to decline,” it said.
Meanwhile, South Africa’s State Diamond Trader said the average price of diamonds it purchased was $194.71 per carat compared with $423 per carat, a year earlier.
“This reflects the execution of the sales strategy in which [we were] able to market those diamonds not preferred by clients to beneficiate. This enables [us] to supply suitable rough diamonds for local beneficiation,” it said.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
