British Media Forecast: Diamond Supply Is Tight Or Lasts For Ten Years

According to a report on the British "Financial Times" website on October 24, the world's largest diamond miner, Alrosa Gems, warned that due to the closure of diamond mines and the lack of new projects, the tight global diamond supply will continue for several years.

The Russian company’s vice president Yevgeny Agureyev said that as demand rebounded from last year’s new crown epidemic, Alrosa’s inventory has reached historical lows.

He told the "Financial Times" reporter: "Our industry will operate with limited supply." He said: "There are some projects, but these projects will not be able to supply products next year or the next year."

According to Bain & Company of the United States, last year’s blockade measures and weak demand caused diamond miners to cut production by about 20%. Some large mines have also been closed, including Rio Tinto's Argyle diamond mine in Australia. Before closing in November last year, the mine accounted for one-tenth of the global supply.

Bain & Company expects diamond production to maintain current levels over the next ten years. Aguleyev said that this situation may be difficult to cope with, but it will help avoid the recurrence of oversupply that has caused diamond prices to plummet. For example, in 2016, the diamond industry fell into a downturn due to oversupply.

Aguleyev said: "On the one hand, this is a challenging situation because there is demand but supply is limited. On the other hand, it is a good situation because the market will not appear the problem of overproduction."

If you are interested in diamonds, please contace HMOIS company. We can provide you best quality diamonds and perfect service. Our website is https://cnhmois.en.alibaba.com/?spm=a2700.7756200.0.0.308c71d2wtUbIH. Welcome to your order!