Troubles in the diamond sector, partly as a result of the new corona virus outbreak, mean bad news for De Beers. The diamond trader, part of the mining company Anglo American, raised ‘only’ 355 million dollars with the sale of the gems during the last round of sales. That is considerably less than the $551 million in the first sales round this year.
De Beers usually sells his diamonds to a select group of buyers. They are invited ten times a year for some sort of auction. In addition, buyers are expected to accept the price and quantity of stones that they are offered.
According to De Beers, the impact of the virus is clearly noticeable, and in particular with the lesser sales in China. The diamond trader is thinking about measures to accommodate buyers focused on the Chinese market.