De Beers Eases Buybacks for Sight Holders as Demand Softens
October 26, 22
(IDEX Online) - De Beers is reportedly easing its buyback terms for sight holders - an indication that the post-lockdown surge in demand is well and truly over.
In a memo issued last Friday, the UK-based miner said it would give buyers increased freedom to refuse stones they don't want at the sight currently taking place in Gaborone, Botswana.
They're now able to reject 20 per cent of goods over one carat from a parcel, rather than the standard 10 per cent, according to Bloomberg News and other sources.
De Beers' rough sales dipped to $500m at its latest sight, in late September, down over a fifth on on mid-August, but broadly in line with the same period last year ($492m). It had been raising prices throughout much of 2021.
Increased buybacks have been used before in times of weaker demand, to sweeten the deal without dropping prices.
De Beers declined to comment.
Pic courtesy De Beers