Alrosa Allowing 100% Deferral of Contracted Diamond Purchases

Rough Market
01/04/2020 11:33

Russian diamond miner Alrosa will allow its long-term contracted clients to defer !00% of their April supply to later this year, a spokesperson has told us. "The spread of coronavirus and counter-pandemic measures implemented around the globe have severely affected the diamond industry. With this in mind, Alrosa supports its long-term clients with a full flexibility for the April 2020 trading session, lifting mandatory buyout requirements."

The spokesperson clarified, "Clients are free to defer up to 100% of allocated for April volumes to forthcoming sales periods of 2020 if they don’t have an opportunity to purchase goods now. Those who are interested in buying rough may apply for the required volumes. We suppose those would be mostly Russian residents. These conditions apply for the April 2020 session only. Consequent sessions’ conditions to be defined individually basing on the state of the diamond market to date.​"

Moscow enacted what has been called a city-wide quarantine on Monday, but it is actually a decree on the need for self-isolation. Residents are only allowed to leave their homes to seek emergency medical care, shop for food or medicine, go to work or other essential needs, but all public places and shopping centers are closed. Several regions of Russia have enacted region-wide stay-at-home orders for residents and Russia suspended all regular and charter flights to other countries on March 27 and  losed its borders on March 30 in a bid to curb the spread of the coronavirus. Asked how they operate under these conditions, the Alrosa spokesperson told us, "since the beginning of the coronavirus situation, we have adapted to conducting diamond viewings in remote mode using modern communication tools and detailed certificates and images of stones. If desired, the customer can use this option and get an order from a specialized transport company."