De Beers Chief Executive Officer obviously has tabs on where the diamond market is headed. And after a series of high-level meetings with several companies in the diamond industry, CEO Gareth Penny has concluded that there is an encouraging rebound happening in the diamond market. “While not back to pre-crisis levels, we are seeing encouraging signs in the diamond market that the recovery has gained an important foothold and is continuing to gain traction.” Penny also added, “After a slightly better than expected Christmas buying period, there has been significant restocking by retailers throughout the first quarter. In addition, U.S. consumer confidence is improving, while China and India continue to show strong growth.”
Now De Beers and other diamond retailers are looking at various maneuvers to try and increase sales over the coming year, after seeing a nearly three-fold increase in first quarter sales for the Diamond Trading Co., versus the same time last year. The enormous company is considering such strategies as sustainably maximizing the value of rough diamonds via an exclusive distribution system, retaining and investing in downstream opportunities where they can ultimately find real value creation, and investing in and protecting diamond equity.
Penney also added, “We have entered a new chapter in the history of our industry which, it must be said, offers great promise, and no doubt challenges, for all of us, but I’m very confident in our product, our people and our passion and I know that we have a hugely exciting diamond decade ahead of us.”