Although a dramatic change of demand for diamonds, loved by almost every woman, is not in the nearest predictions, production volume in 2018 was lower than in previous years. Global production of raw diamonds accounted for 147 million carats according to the Statista.com statistics. In 2017 this number was higher – at 151 million carats in total value of more than 14.1 billion USD.
Production down by 4 million carats will probably push the diamonds price upwards in the nearest time frame. When looking at historic price evolution, it can be noted that investments into diamonds brings a very interesting yield over the years. In 1960, the price for 1 carat floated around 2700 USD, in 2015 over 15.000 USD and 31.000 USD in 2016. That represents a 106 percent rise in 16 years.
In the first half of 2018 the prices rose at about 5 to 6 percent level, the growth in the second half of 2018 was influenced by excessive supply of small diamonds with lower consumer performance, in Indian and Chinese markets. The strongest focus was directed onto stones with pink and blue colors, with blue being the color that outperforms all other colors since only a minimum of newly-mined stones reach the market. Only diamonds with blue color that may be found in auctions are those that were mined earlier and whose owners decided to sell. That is why their purchasing power increases.
Russia belongs to major producers, with a volume of 19 million carats mined in the last year. Then comes Australia with 17 million carats volume, Democratic Republic of Congo with 15 million carats and Botswana with 7 million. Russia also owns biggest supplies of diamonds in the world, the volume is estimated to 650 million carats. As a comparison, Democratic Republic of Congo owns supplies in the volume of 150 million carats.
Since 2009 till 2016 diamonds production faced drops in the volume by tens of million carats, when compared to previous times. 2017 was the first year after a major rundown, production increased again and reached the level of 150 million carats per year.