How Dealers Are Trying (and so Far Failing) to Influence the Rapaport List

Opinion piece
08/04/2015 21:20

Rob Bates elaborates on diamond traders' attempts, first in India then Israel, to question Rapaport's diamond RAPI price index, by publishing their diamonds on RapNet priced at full “list” (Rapaport) price. In both cases, the traders claimed the methodology  of the Rapaport price index is not transparent, saying "the high frequency and the sharp changes in the price list are among the major causes of the volatility in polished diamond prices." Bates concludes that "a long-term price list that would advance price stability, significantly increase customer confidence, and, last but not least, prevent unnecessary commercial damages to diamond manufacturers" as the Israeli companies demand, would contradict the demanded 'need for transparent pricing'.