India, the world leader in diamond processing, saw a sharp decline in imports and exports in June. precious stones. The data shows that purchases of rough diamonds fell by 23% in volume terms, while sales of cut diamonds fell by 15% in value terms.
Main reasons for the decline:
- Falling diamond prices. In June, the RAPI index, which reflects the cost of stones, decreased for the first time since the beginning of the year. For example, diamonds weighing 0.5 carats fell in price by 2.3%, and 1-carat diamonds by 0.3%. Despite a slight increase in July (+0.25%), the situation remains unstable.
- Declining demand in China. The Chinese market, one of the largest consumers of diamonds, is recovering slower than expected. This directly affects the volume of exports from India.
- Competition with synthetic stones. The market is overflowing with artificial analogues, which are in demand due to their lower prices. This creates additional pressure on natural diamond producers.
- Uncertainty about tariffs in the US. A possible increase in customs duties on gemstones in the US is heightening tensions among exporters.
The Russian market also felt negative dynamics. In 2024, rough diamond exports fell by 6.3% compared to the previous year. Despite the increase in the average price per carat (+13%), overall volatility remains.
Industry experts hope for a seasonal pick-up in demand by the fall. However, market recovery will depend on many factors, including price stabilization and improving economic conditions in key consumer countries.
In the meantime, the Indian diamond industry is going through one of the most difficult periods in recent years. Analysts advise market participants to adapt to new conditions and look for alternative sales channels.
The material was prepared with the support of the Russian Ministry of Education and Science as part of the Decade of Science and Technology
Source: @dprom
Photo: expert.ru
