2008 Global Rough Diamond Production 162 Million Cts/$12.73 Billion

Total global rough diamond production in 2008 stood at $12.732 billion, rising 6.68 percent from the declared value of production in 2007, according to data recently released by the Kimberley Process (KP) administration. Production volume declined 3 percent to 162.91 million carats, averaging $78 per carat.

Based on the figures published, Russia is the leading diamond producer by volume, exporting 36.93 million carats worth $2.51 billion. The production figures are somewhat surprising, considering their 3.57 percent decline compared to the previous year, despite Alrosa's decision to continue mining at its usual pace regardless of the onset of the economic crisis.

Botswana is the leading producer by value and third largest by volume. In 2008, Botswana exported 32.27 million carats valued at $3.27 billion. Year-over-year, exports declined 4.05 percent in volume but rose 10.57 percent by value. The rise in value is most likely the result of the sharp hike in rough diamond prices during the year, peaking in September before dropping in the last quarter.

Exports from the Democratic Republic of Congo, the second largest exporter of rough diamonds, increased in 2008. The country exported 33.4 million carats with a stated value of $431.83 million, or a low average of $13 p/c. By Comparison, in 2007 the African country exported 28.45 million carats with a stated value of $364.78 million, a 17.4 percent rise in volume and 18.4 percent increase in value.

According to the KP data, global rough diamond imports totaled 405.24 million carats, valued at $38.68 billion, while total rough diamond exports reached

412.28 million carats valued at $39 billion. 47,744 import certificates were issued and 48,842 export certificates.

India accounted for 40 percent of imports by certificate counts. The European Community, which includes Belgium and the UK, accounted for 54 percent of the KP certificates in exports.