{"id":94856,"date":"2025-09-19T03:05:00","date_gmt":"2025-09-19T03:05:00","guid":{"rendered":"https:\/\/sotnews.agency\/?p=94856"},"modified":"2025-09-19T03:05:00","modified_gmt":"2025-09-19T03:05:00","slug":"diamond-selling-processes-are-outdated-and-hurting-producers-trader-says","status":"publish","type":"post","link":"https:\/\/sotnews.agency\/?p=94856","title":{"rendered":"Diamond selling processes are outdated and hurting producers, trader says"},"content":{"rendered":"
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The sale of diamonds through tenders and auctions is opaque and inefficient, and should be revamped for producers to earn more and to survive the current price slump, a leading gem trader said on Thursday.<\/p>\n

Oded Mansori, co-founder and managing partner of Belgian gem trader HB Antwerp, said the impact on producers could be reduced by doing away with inefficiencies in the industry.<\/p>\n

The diamond market is currently going through a prolonged downturn, with demand hurt by global economic uncertainty and the rising popularity of lab-grown stones.<\/p>\n

Producer countries such as Botswana have been\u00a0hard hit\u00a0by lower revenues, while miners such\u00a0Burgundy\u00a0and Lesotho\u2019s biggest diamond mine\u00a0Letseng\u00a0have had to lay off workers.<\/p>\n

\u201cFor years, miners relied on tenders and auctions, systems that look efficient on paper but in practice resemble a casino,\u201d Mansori said in a statement, as the industry battles a crisis considered to be its deepest in history.<\/p>\n

\u201cRough stones are pushed into opaque markets where value is anyone\u2019s guess. When global demand softens, as it has in cycles over the last decade, producers are left exposed. Workers pay the price, while shareholders watch assets decline,\u201d he added.<\/p>\n

Rough diamonds are typically sold through a competitive bidding system where buyers place confidential bids on individual stones or parcels.<\/p>\n

Mansori, whose company operates a profit-sharing model with miner Lucara Diamond Corp\u00a0(LUC.TO), opens new tab, says producers\u2019 revenues should be tied to the eventual polished value of its stones \u201crather than gambling on rough sales in opaque auctions\u201d.<\/p>\n

Under its partnership with Lucara, HB Antwerp buys stones of 10.8 carat quality and above from the Toronto-listed company\u2019s Karowe Mine in central Botswana at prices based on the estimated polished value of each diamond.<\/p>\n

HB Antwerp accounted for 72% of Lucara\u2019s $74 million diamond revenue in the six months to June 30, up from 65% the year before.<\/p>\n

The trader says producers can earn up to 40% more revenue if they sell through this model.<\/p>\n<\/div>\n

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\"DiamondThe sale of diamonds through tenders and auctions is opaque and inefficient, and should be revamped for producers to earn more and to survive the current price slump, a leading gem trader said on Thursday.<\/div>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"facebook_2277560469115098_106292521332774":"","twitter_aToxNzczMzI3Njk4OTg4ODUxMjAxOw==_1773327698988851200":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1972,8818,10,9],"tags":[],"class_list":["post-94856","post","type-post","status-publish","format-standard","hentry","category-africa","category-diamond-sale","category-politics","category-popular"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts\/94856","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=94856"}],"version-history":[{"count":0,"href":"https:\/\/sotnews.agency\/index.php?rest_route=\/wp\/v2\/posts\/94856\/revisions"}],"wp:attachment":[{"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=94856"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=94856"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sotnews.agency\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=94856"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}