Alrosa Wants to Maintain $200 Million/Month in Rough Diamond Sales

Alrosa continued selling goods in the market, aiming to maintain a $200 million per month sales level. According to a statement by the company, quoted by Interfax news agency, Alrosa planned on selling $190 million-$200 million worth of rough diamonds in September.

The Russian diamond company sold $150 million-$180 million in rough diamonds in July (a delayed sale in Antwerp concluded in August) and an estimated $200 million worth of goods in August.

While most of the offered goods were sold, it is not clear why buyers of rough diamonds are purchasing such large quantities of goods when the demand for polished diamonds in the consumer markets remains somewhat subdued. It is even more puzzling, considering that the price of the rough rises as it is traded in the market, while the prices of polished diamonds remain stable.

“Interaction with major clients under long-term contracts remains fully in force. Fifteen client companies acquired rough diamonds under existing contracts,” Alrosa said in the statement.

Despite the sales renewal, Alrosa continues to sell to Gokhran, saying it planned to “deliver a major lot” by the end of September.