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U.S. Polished Diamond Imports Continue Slide
U.S. polished diamond imports decreased 46 percent in May compared with the previous year to $1.3 billion based on U.S. Department of Commerce figures. Polished exports during May, when the JCK Las Vegas show took place, dropped 48 percent to $660 million. Net polished diamond imports to the U.S. declined 43 percent to $590 million.
Rough imports fell 73 percent during the month to $24 million and rough exports sank 70 percent to $14 million. Net rough imports stood at $10 million — or 76 percent less than one year ago. Net diamond imports were at $600 million, down from $1.1 billion in May 2008.
During the first five months of the calendar year, the U.S. imported almost $4.4 billion in polished goods, half the amount it imported in the same period of 2008. Polished exports dropped 45 percent to $3.2 billion, giving the country net imports of $1.2 billion, 59 percent lower than one year ago.
Rough imports were down by 76 percent for the year to date at $84 million, while rough exports plunged 69 percent to $58 million. Net rough imports fell 84 percent to $26 million. Net diamond imports stood just shy of $1.2 billion, a drop of 61 percent.
India’s Polished Exports Drop in ValueIndia’s polished diamond exports declined 13 percent in June compared with the prior year to $1.1 billion as softer prices continued to impact the trade, according to data published by the Gem & Jewellery Export Promotion Council (GJEPC). Polished imports decreased 5 percent to $640.5 million. By volume, polished exports rose 19 percent to 3.972 million carats.
Rough imports to India dropped 39 percent to $769.6 million in June, while rough exports fell 40 percent to $56.9 million. India’s net diamond account, measuring the extent to which total exports exceeded total imports, improved by 54 percent in June from one year ago, but stayed in the red at negative $276.3 million.
During the first half of 2009, India’s polished exports declined 30 percent to $5.5 billion, while polished imports dropped 15 percent to $3.1 billion, RDR records show. Rough imports decreased 55 percent to $2.6 billion and rough exports were down 25 percent to $319.9 million. India’s net diamond account for January through June was $148.2 million, compared with a deficit of $1 billion one year ago.
Belgium’s Polished Exports SagBelgium’s polished diamond exports fell 35 percent in June compared with a year ago to $755.5 million as prices dropped 30 percent to $1,145.83 per carat during the month, the Antwerp World Diamond Centre (AWDC) reported. Exports to all major diamond centers also declined: to the U.S. by 39 percent, to Hong Kong by 26 percent, to Israel by 47 percent and to India by 10 percent. By volume, polished exports decreased 7 percent to 659,319.83 carats. Polished imports were down 38 percent to $757.4 million.
Belgium’s rough diamond imports fell 38 percent to $657.9 million and rough exports declined 35 percent to $763.2 million. Net rough imports — imports less exports — grew 16 percent to negative $105.3 million.
Israel’s Polished Exports DeclineIsrael’s polished diamond exports dropped 22 percent year over year to $183.9 million in June, based on data published by the country’s Central Bureau of Statistics (CBS). Rough exports declined 52 percent to $212 million.
Israel’s Ministry of Industry, Trade and Labor data revealed that during June, rough diamond imports were down 57 percent to $250.3 million, while polished imports decreased 56 percent to $206 million. Israel’s net diamond account — net polished exports less net rough imports — showed a deficit of $60.4 million in June, compared with a deficit of $378 million one year ago. In the country’s second quarter, rough imports dropped 60 percent $574.9 million, while rough exports declined 56 percent to $478.7 million.
Japan’s Polished Imports SlumpJapan’s polished diamond imports fell 32 percent during May 2009 compared with May 2008 to $45.8 million, according to data published by the J Club, based on statistics from the Customs Bureau of the Finance Ministry. For the country’s two biggest sources of polished diamonds, imports contracted even more steeply. Japan imported 38 percent fewer polished diamonds from India during the month, or $17.4 million total, while polished goods from Belgium dropped 45 percent to $10.2 million. For the year to date, Japan’s polished imports have declined 24 percent to $266.3 million.
SA’s Diamond Production PlummetsSouth Africa’s diamond production tumbled 62.4 percent in May compared with one year ago, according to the monthly Statistics South Africa (SSA) report. Compared with April, diamond production fell 1 percent. For the three months that ended May 31, South Africa’s diamond output rose 1.9 percent from the previous quarter. Diamonds contributed 8.3 percent of the country’s total mining volume when weighted according to the survey’s base year of 2000. SSA does not provide actual production numbers.
UN Panel Reports on Liberia’s Diamond Trade Liberia exported almost $2 million in rough diamonds during the first four months of 2009, according to data collected by the UN panel of experts monitoring development in the country. There were 15 Kimberley Process (KP) certificates issued during the period for more than 2,500 carats and the government earned over $59,000 in royalties from those exports. The panel also noted that the average value per carat increased significantly during the first four months of 2009. Liberia was readmitted into the KP in May 2007.
Rough Imports to Belarus WeakenRough diamond imports to Belarus fell 65 percent compared to the previous year to 15,550 carats during the first half of 2009, the Belarusian Finance Ministry told Interfax. The dollar value of these imports dropped 68 percent to $4.3 million, the Russian news service reported. During the second quarter of the year, imports dropped 80 percent to 4,050 carats, or 63 percent by value, to $2.1 million. — Additional reporting by Acquire Media.
Diamond Project Acquisitions ContractThe value of all acquisitions in diamond projects conducted from 2008 to 2009 fell 73 percent to $210.5 million, according to Canada-based research group Metals Economics Group (MEG). A total of 19.7 million carats changed hands during the year that ended May 31, 2009, a decline of 91 percent compared with the previous year, the report stated. There were 14 diamond transactions valued at more than $1 million, down from 26 during the previous year. Canada accounted for 67 percent of total acquisitions due primarily to Kinross’s $104.4 million purchase of 9 percent of the Diavik mine from Harry Winston.
China’s Diamond Imports SurgeChina’s total diamond imports increased 68 percent to $65.7 million in June, the Xinhua News Agency reported, citing data from the Shanghai Diamond Exchange (SDE). Imports rose 63 percent by volume to 70,100 carats, according to the report. Those imports included 69,800 carats of polished diamonds worth $65.7 million and 300 carats of rough valued at $39,600. The total value of the SDE’s diamond transactions in June grew 21 percent to $136 million, the report added, indicating strong demand from the domestic diamond accessories market.
Diamond Fields Tender Nets $806,000Diamond Fields International reported that its most recent tender achieved sales of $805,502.07 for 3,867.4 carats, with an average per-carat price of $208.28. Diamond Fields conducted the sale through Diamond Tenders, its partially owned marketing company based in Antwerp.
Article from the Rapaport Magazine - August 2009. To subscribe click here.