Diamond Production Increases

Diamond Production Increases

Diamond production increases as the economy improves.  Furthermore, diamonds are making their way back as reports of sales are looking strong in the market today.  Diamond production is up +39 percent.  Slow inching its way back up to the pre-2007 levels before the global economic crash.  The reason for this upswing is due in part to the economic recovery and the increase in prices for rough and polished diamonds.  With commodities, food, and oil on the increase, the prices for diamonds have also steadily climbed, however unlike diamonds those items are perishable and do not maintain any value after use. Diamond production increases and diamond prices are actually a positive phenomenon.  This shows that the luxury industry still has a strong foothold in the world economy and that consumer holdings are increasing steadily.  This proves that an investment in diamond and jewelry goods can positively affect the worth of the consumer.

Diamond Production Increases in Zimbabwe

The Zimbabwe Mining Development Corporation estimates that the Zimbabwe’s Marange diamond fields are expected to produce 16.9 million carats in 2013 alone.  That would make the project the largest in the world.  With regards to diamond production increases yearly. A non-profit organization, the Partnership Africa Canada, estimates that production from the Marange fields could be expected to yield as much as 30 to 40 million carats annually.  That is if Kimberley Process restrictions did not exist.  The Kimberley Process is a global non-profit organization. Diamond production increases in the Marange fields may produce more carats than any other project in the world.  However,  the quality of the diamond materials mined are among the lowest in the world. The diamonds produced average only $60 per carat on the global diamond market.  According to the data collected by the Kimberley Process the quality diamond production yields close to $100 US per carat.  Zimbabwe is the fourth largest diamond producing nation in the world, and the Marange fields represent almost all of the nation’s production.

Russia and Diamond Production Increases

Russia is the leader of the world with regards to diamond production increases.  In 2013 alone, data suggest that Russia produced over 33 million carats of rough diamonds. Worth approximately $3.4 billion US currency.  ALROSA Diamond Miner, owned by the state, accounts for approximately 95% of all Russian diamond production increases.  Letseng mine in Lesotho, is estimated to produce diamonds with an average value of $2191 per carat,  the world's most expensive on an average per-carat basis.   Russia’s Grib project estimated to produce 4 million carats annually for 19 years with production expected to start soon. Trailing The Russian Federation is The Democratic Republic of Congo or DRC is the second largest with regards to diamond production.  Furthermore, most of The Democratic Republic of Congo's diamond production increases comes from small-scale miners.  Therefore, making calculating their diamond production output difficult.  The Kimberly Process had the DRC producing 21.5 million carats in 2012.  Canada’s Gahcho Kue project is estimated to produce 5 million carats a year for 15 years starting in 2015.

Australia and Diamond Production Increases

Australia’s Argyle mine, while famous for producing over 90% of the world's fancy pink diamonds.  Also, it has the lowest average value per carat output in the world.  Unpopular brown diamonds, most of which are classified as industrial quality, account for the majority of Argyle’s production.  Thereby, bringing down the mines average carat value to only $25 per carat.  Scheduled to produce to 10.2 million carats. http://www.kitco.com/ind/Zimnisky/2013-08-20-Ranking-Of-The-World-s-Diamond-Mines-By-Estimated-2013-Production.html http://www.kimberleyprocess.com/ Diamond Prices