(IDEX Online) - Diamond producer Alrosa today (Thursday) reported that its Q3 2019 diamond production hit 12.1 million carats, with sales totaling 6.4 million carats by volume and $0.6 billion by value.
The miner said the increase in output - up 24 percent quarter-over-quarter and 15 percent year-over-year, was due to the launch of production at new deposits and the expansion of existing areas of operation.
For the first nine months of the year, production reached 29.7 million carats (up 12 percent year-over-year).
Alrosa said third-quarter diamond sales fell 24 percent over the previous quarter and 37 percent year-over-year to $601 million.
By volume, sales dropped 23 percent over the previous quarter (down 5 percent year-over-year) to 6.4 million carats, including 4.3 million carats of gem-quality diamonds (down 28 percent quarter-over-quarter and 8 percent year-over-year).
The decline is because of falling consumer demand, which has led to a reduction in stocking by cutters and retailers.
Sales for the first nine months of the year totaled $2,386 million (down 34 percent year-over-year). By volume, sales declined 13 percent year-over-year to 25.3 million carats. Sales of gem-quality diamond also declined, dropping 14 percent year-over-year.
In terms of prices, average realized prices for gem-quality diamonds increased 4 percent quarter-over-quarter (down 32 percent year-over-year) to $135 per carat.
There is some brighter new going forward. Alrosa also reported that the second half of the third quarter saw an upward trend in rough diamond sales which it says creates a basis for market recovery....