diamond markets were dominated by a seasonal lull and diamond prices fell slightly, Rapaport said in a press release. The jewelry fair JCK Las Vegas, which was held at the beginning of the month, demonstrated a steady demand for commercial grade diamonds in the US, high demand for inexpensive polished "piqué" diamonds and a rather weak demand for large and high-quality stones. The June Fair in Hong Kong disappointed diamond dealers, who concluded that cautious sentiment prevailed in the Far Eastern markets.
The price index for diamonds RapNet Diamond Index (RAPI ™) for stones weighing 1 carat in June fell by 0.5%. Prices for diamonds weighing 0.3 carats and 0.5 carats rose by 0.5% and 0.3% respectively. The price index for diamonds weighing 3 carats for the reporting month fell by 0.7%.
During the second quarter, prices for diamonds were down, the Rapaport monthly report, "2Q Slowdown", said.
Retail jewelry companies have replenished their stocks after the Christmas season in the first quarter, and since then, polished purchases have been carried out to fulfill the orders received. Delays in the evaluation of diamonds by the Gemological Institute of America (GIA) led to a reduction in the supply of certified stones in the laboratory and supported prices for them in a weak market.
The margins of the profits of diamond producers remained small. Prices for rough diamonds in June were stable, and activity was observed in the secondary market. Despite the liquidity problems, there is a strong demand for rough diamonds, while mining companies maintain production volumes.
It is expected that in July and August the market will be dominated by a lull, as dealers in Antwerp, New York and Ramat Gan leave for the summer holidays. The expectations for the July International Indian Jewelery Fair (IIJS) have increased, which is due to the revival of the local Indian market after the election of a new government.

Indian exports of gold jewelry from the domestic tariff zone in fiscal year 2013-14 jumped 141.58% year-on-year to $ 5.68 billion. Meanwhile, exports of these goods from special economic zones (EPZs) fell sharply by 66, 28% to $ 5.36 billion compared to $ 15.9 billion in the 2012-13 fiscal year. This trend is already observed in the current fiscal year. In April-May 2014, exports of gold jewelry from the domestic tariff zone increased by 13.61% year-on-year to $ 728.69 million, while exports from the SEZ fell by 30.19% to $ 542.72 million.
The sharp increase in the export of gold jewelry outside the FEZ and the corresponding decline in exports through the SEZ amid weak demand in foreign markets attracted the attention of the government. There were fears about whether this situation is plausible and natural, because the growth in turnover in the zones where local tariffs and taxes are operating, and the drop in sales in exempted from taxes and duties SEZ looks illogical.
The government is studying the situation and suggests that exporters from the domestic tariff zone could fraudulently increase the cost of deliveries to countries with low taxes or preferential tax treatment in order to apply for benefits (for example, duty-free imports). According to some suspicions, the goods exported in this way are then returned to the country, and gold is used for subsequent exports. The execution of such circular transactions allows counterparties to obtain huge revenues.

high volatility in the polished diamond market in June, prices for precious stones stabilized, and trade was conducted in narrower price corridors, according to Polishedprices.com.
The main price index for PolishedPrices polished at the end of June was 149.2 points, 2% higher than the corresponding value at the end of May 2014. The average value of the index in June was 0.1% higher than the average in May and was 4.9% higher than in June 2013.
At the same time it is reported that the prices for polished diamonds remained 14.6% lower than the peak values recorded in August 2011. "By the end of this year, we expect a slight increase in prices, but they are unlikely to reach pre-crisis levels," the report said.

The total sales of jewelry and watches in the US in May showed an annual increase of 5.6% and reached $ 7.192 billion, Rapaport reported citing preliminary government data.
Data on sales for April did not change, but the data for March were revised downward. Preliminary results of sales of jewelry and watches in the first five months of the year show an increase of 3.4% to $ 29.95 billion.
Sales growth since the beginning of the year was consistently small and kept within a few percent, however in May the growth was the most significant since November last of the year.

The Namibian authorities are putting pressure on the De Beers group to determine a new sales agreement that would enable the South African state to sell diamonds outside the De Beers system.
Currently, all diamonds mined by Namdeb, a joint venture of the Namibian government and De Beers, are exported to Botswana, where De Beers plants are sorted. Diamonds are mixed with the products of other De Beers companies from around the world.
Only 10% of the Namdeb diamonds mined after that are returned to Namibia and sold to 12 local sightholders through Namibia Diamond Trading Company, a joint venture of the Namibian government and De Beers.
The Minister of Mining and Energy of Namibia Isak Katali (Isak Katali) recently said that the government came up with this initiative, trying to learn the experience of Botswana, reports Bloomberg. However, its implementation will depend on what agreements will be reached with De Beers, Catali added.
"We need to agree with De Beers to establish a separate company," Catali said. "We are guided in our actions by the example of Botswana."

International Diamond Week will open in Israel, and the Israeli Diamond Exchange (IDE) will once again accept hundreds of diamantaires and buyers who are already preparing for a four-day diamond trade festival. International diamond week will be attended by dealers from Israel, India, Belgium, USA and many other countries. In the IDE's sales hall, polished diamonds for a total of over $ 1 billion will be auctioned, according to a press release received by Rough & Polished.
"Nearly two years after the presentation of IDE's concept of the International Diamond Week, we were able to realize the idea, and this event was an important event in the trade between diamond exchanges from around the world," the IDE president said. - By inviting many IDE members to this event where they can interact with members of the Beurs voor Diamanthandel and the Diamond Dealers Club of New York, we create a unique temporary trading platform for transactions and communication .

As a result of the second quarter of 2014, the index of prices for small diamonds (Rapaport Melee Index, RMI) increased by 1% to 138.78 points, according to a press release Rapaport. At the same time, the current value of the index is 3.4% higher than the corresponding figure in June 2013 (134.24 points).
After a good start to the year and a surge in the 1st quarter, when jewelers were replenishing stocks after the Christmas and New Year seasons, in the second quarter, diamond trade slowed. Purchases of diamonds were carried out mainly to fulfill existing orders. However, despite the lull, the mood in the market in June remained quite positive.
It is expected that the third quarter will be a difficult period for participants of diamond trade, as it was in the last few years. At best, diamond prices will be stable, which will reduce the profit margins of diamantaires and may lead to a drop in demand for rough diamonds.

Exports of rough diamonds from Dubai showed an annual growth of 6% in 2013 and reached $ 7.296 billion, Rapaport reported citing data from the Dubai Diamond Exchange (DDE). In terms of volume, diamond exports jumped by 12% to 68.266 million carats, while the average price of exported diamonds fell by 5% to $ 106.88 per carat.
Dubai's import of rough diamonds in 2013 grew by 11% to $ 5.116 billion, an increase of 11% to 67.481 million carats. The average price of imported diamonds practically did not change compared to last year and amounted to $ 75.82 per carat. Dubai's net diamond exports fell 5% to $ 2.179 billion during the reporting period.
DDE has not published data on diamonds for a long time, and the latest figures date back to 2011.
In the first five months of 2014, rough diamond exports from Dubai totaled $ 3.389 billion. 27,908 million carats were exported at an average price of $ 121.40 per carat. The import of rough diamonds for this period is estimated at $ 2.303 billion with the purchase of 35.108 million carats of diamonds at an average price of $ 65.61 per carat.

The Reserve Bank of India (RBI) in its notification of July 7, 2014 said that after consulting with the Government of India, it was decided that net loans, that is, loans provided by foreign suppliers to its Indian customers or buyers without registration letters of credit (loans from suppliers), letters of commitment (loans from buyers), time deposits from any Indian financial institution for the import of diamonds and diamonds, may be allowed for a period not exceeding 180 days from date of shipment. The revised RBI instructions take effect immediately.
This step of the RBI was followed by demarches by diamond importers through industry organizations such as the Gems and Jewelery Export Promotion Council (GJEPC), the Surat Diamond Association (SDA) and others in the the benefit of increasing up to 180 days of the 90-day credit period established by the Circular of the Central Bank of India No. 59 of May 6, 2011, according to which banks belonging to Category 1 are allowed to approve loans provided by suppliers and buyers as well as payment of letters of credit for imports of rough diamonds and diamonds issued for a period not exceeding 90 days from the date of shipment.

Belonging to the De Beers group, the diamond brand Forevermark expects that in 3-4 years India will account for about 30% of its total sales revenue.
Currently, Forevermark's sales in India are around 15% of total global sales.
IdexOnline portal quoted the statement of Forevermark CEO Stephen Lussier that despite the fall of the Indian economy, last year sales by volume and in value terms jumped by 40%. According to him, the growth is due to the fact that the Indians began to consider diamonds as an alternative object of investment.
Lussier noted that prices for Forevermark diamonds are growing, and last year they increased by 15%, and this year it is expected that the brand's sales will be about 50,000 diamonds.