More and Cheaper Goods Headed to Japan in May

Japan’s polished diamond imports continued to shrink in value in May, totaling $67.08 million, a 16.7 percent decline in dollars, and a sharp 27.6 percent decline as measured in yens. The trend of preferring cheaper goods continued, with the average per carat price declining from $432 (¥51,703) in May 2007 to just $320 (¥33,244).

The sharp decline in value is accompanied by increased imports in terms of volume. May polished diamond imports totaled 209,654 carats, a 12.6 percent year-over-year rise.

Imports from India, Japan’s main supplier of polished diamonds, rose in volume to 138,582 carats from 120,947 the year before, while declining in value to $27.86 million from $29.69 million.

Imports from China rose to 9,262 carats from 2,143 carats the year before, with the value nearing half a million dollars ($495,000), falling from $1.1 million in May 2007.

In April a very similar trend was witnessed when imports continued the downward spiral in value, but rose in volume, indicating a growing interest in diamonds, albeit cheaper ones.