Belgium’s Rough Diamond Trade Sinks as Industry Takes a Pause

(IDEX Online News) – July was a brutal month for rough diamonds. Demand was low, prices did not decline fast enough to meet manufacturers’ needs and cash to buy the goods was scarce. As a result, trade through Antwerp sank during the month.

Belgium’s rough diamond imports plunged 44.6 percent to $1.42 billion and the volume of imports dropped 30.4 percent to 9.1 million carats, according to figures published today (Monday).

This revealed a 20.4 percent decline in the average price of rough.

Exports from Belgium fell 33.9 percent to $1.86 billion on shipments of 13.2 million carats. By volume, exports were down 26.4 percent.

The average value of exports lost 10.2 percent.

Rough diamond demand is reeling, a trend that will continue into August when many traders and manufacturers go on vacation. The year over year comparison looks especially harsh because last year the diamond market was enjoying large demand for polished resulting in high prices. This fanned demand for rough until August 2011.

Since that time, demand has waned and in recent months the market for rough diamonds is particularly quiet.

Source: AWDC