- Points to reduced demand for diamond jewellery in major consumer markets
GAZETTE REPORTER
De Beers has reported rough diamond sales of $370 million for the seventh sales cycle of 2023.
Said Al Cook, the CEO of De Beers: “Given the prevailing economic conditions, which have led to reduced demand for diamond jewellery in major consumer markets, coupled with the traditionally subdued midstream trading activity during the summer season, sightholders maintained a cautious approach to their diamond purchases during the seventh sales cycle of the year.”
Two sales avenues
De Beers employs two primary avenues for the sale of its rough diamonds: Global Sightholder Sales and Auctions.
Global Sightholder Sales, accounting for approximately 90 percent of the Group’s rough diamond sales by value, revolves around the allocation of term contracts to distinguished clients known as Sightholders.
These esteemed diamantaires, operating in prominent diamond hubs around the world, have the privilege of evaluating their assigned rough diamond allocations during events referred to as sights.
These events, held 10 times annually, take place in Botswana, Namibia and South Africa. Subsequently, sightholders make decisions regarding the purchase of the offered diamonds.
Best Practice Principles
The rough diamonds available at these sights originate from De Beers’ owned and joint venture operations, as well as mines that adhere to the Responsible Jewellery Council Code of Practices and the Best Practice Principles.
Meanwhile, De Beers Group, the multinational corporation engaged in diamond exploration, mining, retail, trading, and industrial manufacturing, maintains operations in 35 countries across the globe.
The lion’s share of its earnings, approximately 75 percent, is derived from its activities in Botswana.
Botswana, Canada, SA and Namibia
De Beers is predominantly owned by Anglo American, which holds an 85 percent stake, while the Government of Botswana holds the remaining 15 percent.
The De Beers workforce comprises over 20,000 individuals spread across 28 countries, including those in which the company conducts diamond recovery operations – Botswana, Canada, South Africa and Namibia.
This is but a precis of the storied history the renowned diamond mining company, that dates back to 1888.