Canadian rough diamond sales drop, miner reports weak demand

by Tamanna Bhasin | August 6, 2024 10:02 am

Cut diamond held by a jeweller's tweezers, with rough diamond stones in the background. — The company experienced a 5 per cent year-on-year drop in sales to $56.8 million. Photo © Bigstock

Canadian diamond mining company Mountain Province Diamonds reported a decline in sales during its second quarter as prices for its rough diamonds fell, a challenge driven by weak demand and an extended slowdown in the market.

As per Rapaport[1], Mountain Province Diamonds’ experienced a 5 per cent year-on-year drop in sales to $56.8 million for the period ending June 30. The decrease coincided with a significant 39 per cent reduction in the average price of rough diamonds to CAD 102 ($74) per carat, despite a 55 per cent increase in sales volume to 557,361 carats.

CEO Mark Wall says, “The diamond market continues to be softer than anticipated. The expected recovery in demand from China has not materialized, leading to a more prolonged U-shaped recovery outlook for diamond demand.”

Endnotes:

Rapaport: https://rapaport.com/news/weak-diamond-demand-drives-down-mountain-province-revenue/

Source URL: https://www.jewellerybusiness.com/news/canadian-rough-diamond-sales-drop-due-to-weak-demand/