Is there a shortage of rough supply in the diamond pipeline? Not at all, says Israel Diamond Institute (IDI) chair Moti Ganz.Speaking at IDI’s Third International Rough Diamond Conference last week, Ganz said, “The headlines report gloomy forecasts about rough production, and we often read about the search for the next large mine. I want to refute this false claim. There is rough. There is no shortage of rough.”
Ganz also said there is a stockpile of polished diamonds, claiming that even if manufacturers worldwide “stopped cutting diamonds today,” there would still be enough supply for a full year.
“The problem is there are too many manufacturers that purchase rough and manufacture polished even though they have no orders,” he added. “All industries, worldwide, have moved to manufacturing by demand. All industries have learned you mustn’t manufacture for stock “¦ Only the diamond industry has failed to join this global trend.”
Ganz also called on rough producers to help promote diamonds as a luxury product, pointing to De Beers as an example and saying the company invests three per cent of sales turnover into advertising.
The speech was part of a session entitled, “Producer Strategies,” which included representatives from De Beers, Harry Winston Diamond Corp., Gem Diamonds, Alrosa Company Ltd., Namdeb Diamond Corp., Mwana Africa, and Petra Diamonds.
