News

Advanced Search

Okavango to Hold First Diamond Auction in June

Group to Launch Full Sales in September

May 7, 2013 9:17 AM   By Avi Krawitz
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share
RAPAPORT... The Okavango Diamond Company will hold a pilot sale of rough diamonds on June ‎‎26. The sale is intended to test the company’s systems before ‎it launches full, regular auctions in September.‎

Okavango will invite 50 companies to view the goods in Gaborone’s Diamond ‎Technology Park before taking part in the live auction test. Among those invited will ‎be  all of the companies with diamond manufacturing license in Botswana. Jacob ‎Thamage, Okavango’s chairman, told Rapaport News that participating companies were ‎chosen to represent all manufacturing centers so that Okavango can receive ‎diverse feedback from all sectors of the market. ‎

‎“The pilot sale represents an important final step in Okavango’s establishment,” said Toby ‎Frears, Okavango’s managing director. “It will help us ensure that our systems are ‎efficient and robust ahead of our full sales launch and underlines our commitment to ‎delivering a customer focused sales model.” ‎

Thamage explained that the company has developed an online auction system that ‎draws from industry trends and best practices. ‎

State-owned Okavango Diamond Company was established in 2011 to introduce rough ‎diamond sales in Botswana independent of De Beers. The company is entitled to 12 ‎percent of Debswana’s production in 2013, which will increase by 1 percent each year ‎until the allocation stabilizes at 15 percent in 2016. Debswana is a joint venture between ‎the Botswana government and De Beers.‎

Thamage said the company has not taken its full allocation for the pilot auction and that ‎only a small amount of goods will be available.  ‎

When full sales commence in September, the auctions will be open to broad participation ‎from local and international diamond companies that will be able to gain access to the ‎full range of Debswana’s diamonds at market-determined prices, the company ‎explained. ‎

Frears explained that the sales model has been designed to care for both short term and ‎long term supply needs. He added that the company intends to introduce fixed term ‎supply contracts in its next phase of development, with those details expected to be ‎finalized in early 2014.

Registration information  for the September auctions will be published in the coming ‎weeks.‎
Comment Comment Email Email Print Print Facebook Facebook Twitter Twitter Share Share
Tags: Avi Krawitz, De Beers, Debswana, diamonds, Okavango Diamond Company, Rapaport, Toby Frears
Similar Articles
Botswana Orapa Debswana De Beers mineBotswana Rough Exports Drop
Aug 21, 2017
Botswana’s rough-diamond exports declined 9% year on year in the first half, according to data the Bank of Botswana...
Comments: (0)  Add comment Add Comment
Arrange Comments Last to First
© Copyright 1978-2017 by Martin Rapaport. All rights reserved. Index®, RapNet®, Rapaport®, PriceGrid™, Diamonds.Net™, and JNS®; are TradeMarks of Martin Rapaport.
While the information presented is from sources we believe reliable, we do not guarantee the accuracy or validity of any information presented by Rapaport or the views expressed by users of our internet service.