2015 Global Diamond Production Falls in Value Despite Increased Output

Rough Market
06/07/2016 13:35

According to figures recently relased by the Kimberley Process, 2015 global rough diamond production fell 4.2% in value to $13.88 billion even as the volume of output increased 2.1% to 127.4 million carats. Accordingly, the average value of production fell 6.2% from $116.17 to $108.96 per carat. Russia widened its lead over Botswana as the largest producer of rough diamonds in terms of volume and value. Russia’s increased its 2015 production 9.4% to 41.9 million carats, good for a 14% increase in value to $4.24 billion. Botswana’s output by volume declined 16% to 20.8 million carats, while the value of its production fell 18% to $2.99 billion. Following Russia (33%) and Botswana (16%), the next top diamond producing countries by volume in 2015 were Democratic Republic of Congo (12.5%), Australia (10.65%) and Canada (9%). The top five largest diamond producers by value in 2015: Russia (30.5%), Botswana (21.5%), Canada (12%), South Africa (10%) and Namibia (9%).

Rapaport News writes that, "The data showed a production shift from countries with higher average prices to lower priced producers such as Russia, which produces the most by weight but its average price was relatively low at $101.15 per carat. This compares with $143.73 per carat in Botswana and $131.11 in Angola, where production by volume also fell from a year ago." So while Russia more than doubled the overall output of Botswana, the value of their stones was only 29% higher.

When it comes to importing and exporting countries, India is the biggest importer of rough diamonds, good for 38% of total volume (130m carats) and 32% of total value ($13.36 billion). India is followed on both counts by the European Union (Antwerp), importing 30% of total volume and 28% of value, and United Arab Emirates, with 18% of volume and 13% of value. Antwerp is the largest export center in terms of volume and value, with 27.5% and 27.25% respectively. Antwerp's exports remain far ahead of UAE (18% of volume and value), India (9.75% of volume) and Israel (6% of value).