|   Business


  |   Business


The Diamond Industry in 2020 - Where Does It Go from Here

For the majority of the twentieth century, the diamond industry and its prices were completely controlled by a single company, known as De Beers. Nowadays, diamond prices are completely driven through supply and demand. However, last year was not a good year for the diamond industry, and according to Liberum Capital Markets, the present difficulties will not be ending anytime soon.

Rough diamonds were oversupplied, there was a surplus of polished stone stocks, and the price of diamonds is falling, which has piled a huge amount of pressure on the organizations that have to dig the diamonds up and the businesses that focus on cutting, polishing and trading them.

Diamond Mining Market

A research report conducted by Diamond Mining Market provides a comprehensive overview of the global markets and the future demand for diamonds up to 2023, which will enable companies to implement relevant strategies. The reports created by the Diamond Mining Market also show us useful information that can be applied to the diamond industry to help it succeed. For example, researchers have discovered that single women in the US tend to be less interested in buying diamond jewelry compared to married women.

Diamond Mining Market research reports have listed a number of objectives that the industry needs to work towards. These include:

  1. Analyzing and researching Diamond Mining capacity, production, consumption, forecast, status, and value up until 2023.
  2. Putting more focus on competitive products, SWOT analysis, and competitive market scenarios, which need to be defined, described, and analyzed.
  3. The market type needs to be defined, described and forecasted via region and application.
  4. The potential, benefits, opportunities, challenges, risks, and patience of the market’s major sectors need to be analyzed.
  5. Key factors and elements that may obstruct or encourage market growth must be identified.
  6. High growth areas must be identified and opportunities for the market’s stakeholders need to be studied.
  7. Individual growth trends need to be evaluated.
  8. There should be more analysis of competitive developments like expansions, agreements, acquisitions and new product launches in the market.

If industry players take heed of the above recommendations, they’ll be in a strong market position going forward.

Pink/Colored Diamonds 2020

2019 presented the diamond industry with many challenges. Fortunately, the outlook for the future is more promising. Colored and pink diamonds are likely to retain and increase in value due to the closure of Rio Tinto’s profuse Argyle mine. This mine found in Australia is not the world’s only pink diamond source, but it is definitely the most significant. The mine closure, alongside other highly productive mines, will open doors for many smaller companies found in this sector.

Fluorescent Diamonds 2020

As the pink diamond supply slows down, fluorescent diamonds are likely to make a statement. These diamonds glow when placed under UV light and are usually mined in colder countries. They have been created to target younger women due to their party appeal. Many companies exist to resell diamonds and these companies will benefit massively if the popularity of colored and fluorescent diamonds starts to increase because it attracts such a varied market. Prices are already increasing due to mine closures, so many people will be looking for good deals on these diamonds, especially if they become popular.

North Arrow 2020

There are a number of companies that need to be watched in 2020, one of which is the independent diamond analyst called North Arrow. This company is confident that there will be a shift in the dynamics of the diamond market in 2020 and this change is one that the company is ready to take on. This company was involved during the early stages of the diamond industry and despite what is being published, they continue to remain optimistic when it comes to future fundamentals.

Technological Advances 2020

Technology is constantly changing and improving and these technological advances will most likely be applied to the diamond industry in 2020. Technological integration and efficiency will allow companies to adapt better to the market conditions. The industry will most likely benefit from collaborative synergies, but it will take a while for the industry to become fully modernized. For example, forming branded marketing prospects with retailers and managing the purchases of rough diamonds based on inventory monitoring and retail activity.

Over the last couple of years, the diamond industry has been through a difficult time and has faced many difficulties. However, the future of this industry is starting to look a lot brighter.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes.

  • Market Data

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.