Israel's Diamond Trade Suffers Double Digit Declines in July

Compared to July 2011, Israel's net polished diamond exports fell 66.8 percent, based on figures released by the Central Bureau of Statistics (CBS).

In the fist seven months of 2012, Israel exported $3.62 billion worth of polished diamonds, a 24.2 percent decline compared to 2011.

Rough diamond exports reflect a similar, yet more extreme trend. Net exports in July totaled $167.3 million, an 8.5 percent month-over-month decline.

Year-over-year, the decline is 52.4 percent.

In the fist seven months of the year, Israel exported $1.66 billion worth of rough diamonds, a 36.4 percent decline compared to 2011.

Polished and rough diamond imports of $576.2 million are a 2.4 percent decline compared to June. Once again, year-over-year, the decline is a large one, 49.6 percent. CBS reports rough and polished diamond imports together.

The figures reflect the weakening demand from the consumer markets, a trend that is expected to change once retailers start to stock up for the November-December holiday season.

At the same time, Israeli traders insisted on maintaining higher prices, which has further harmed demand, sending buyers to India where many traders are lowering prices due to pressure from the banking system.

CBS does not report diamond trade by volume.

Source: CBS