India’s Rough Diamond Imports Decline in Volume

India imported 14.91 million carats of rough diamonds with a stated value of $1.258 billion dollars in June. These imports, averaging $84.38 per carat, are a 10.6 percent decline in volume and a rise of 32.5 percent in value.

According to provisional data released by the Gem and Jewellery Export Promotion Council, imports in the first quarter of the year totaled 44.33 million carats with a declared value of $3.186 billion – a 5.41 percent rise in volume and 32.5 percent increase in dollar value. They averaged $71.87 p/c.

The combination of the sharp rise in value and the decline in volume in June reflects the rising prices of rough diamonds, and a certain recoiling reaction to them by Indian traders, as they cut back on polishing operations. The cutback is a full U-turn from the rising imports witnessed in April and May.

Exports of rough diamonds continued to grow. In June, India exported 3.324 million carats of rough diamonds. According to official figures, these exports are worth $1.235 billion, just $23 million less than what was imported. At an average value of $371.54 p/c, these export figures are at the very least raising an eyebrow.