De Beers has cancelled its August sight and rescheduled sale dates for later in the year in response to the diamond industry's overstock.
Rapaport News reports that the miner informed clients last week that it had consolidated its August and October auctions into a single sight that will occur in September.
“We believe this revised scheduling will better support [sightholders’] business needs as we head towards the end-of-year season,” an unnamed De Beers spokesperson was quoted as saying.
The decision indicates significant production cuts in India, with executives anticipating a year-over-year decrease of almost 50% during the first weeks of August and July.
Kiran Gems is among the manufacturers that are planning extended vacations, which is typically a quieter time for the sector.
Petra Diamonds recently postponed the August/September tender from its South African operations to support steps taken by major producers to restrict supply due to weak demand.
It said the rough diamond parcels from South African operations would be tendered as part of the second tender expected to close mid-October.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
