Tender Report March 2023
The Hong Kong Diamond, Gem and Pearl Show which took place in early March, did not fulfill the expectation some had hoped for. While footfall was strong, it did not translate into strong sales to the major buyers. There was a high level of attendance, primarily because the organisers opened the event to consumers (B2C), therefore attracting high numbers of Chinese tourists, rather than the trade alone.
Overall, manufacturers were happy to be meeting again in person with Chinese retailers after a 3 year break. The fact remains that meaningful sales into this important market have yet to materialise. Polished sales in the US remain flat with consumers still cautious, and LGD sales have impacted the 1.00 – 2.00 ct. SI ranges that dominate the important bridal sector. The Indian domestic market has performed relatively well recently, but with the impending Indian holiday season approaching customers anticipate a slowdown in domestic polished demand.
TAGS presented this months event between 29 th March- 4 th April attracting approx. 150 companies from all the leading centres. We had a good attendance from Israeli companies despite an overlap with the Israeli Diamond week event in Tel Aviv. A trend we continue to see is the increase in Belgian based companies attending sales in Dubai, as the number of tenders and goods available in Dubai continues to grow.
We presented our regular Southern African productions, ranging from +10ct Special Stones through to small sizes in a full range of qualities. After seeing a long-awaited improvement in demand last month, we witnessed an even stronger level of viewings this month, despite many of the global economic issues remaining unchanged.
Having said that, we feel this month that the market for rough remains difficult to read and seems to change on an almost daily basis. Buyers certainly remain very price conscious. De Beers increased prices in the smaller size ranges during the March Sightweek, a move that had been highly anticipated following several months of strong market prices in the cheaper ranges and -3gr sizes.
The market is awaiting the arrival of Russian Gokran goods in Belgium and India which were reportedly sold last month at an approx value of $50m and mainly in the -3gr sizes. Okavango results were concluded on 5th April, with prices reportedly down by between 3-7% on average.
Our sale concluded with sales to 60 companies representing all the cutting centres, with a sell through similar to last month. There was a slight weakness in 2-4ct Commercial ranges, as we had expected. Generally small sizes -3gr continue to perform well, along with and cheaper ranges, and other sizes are similar to last month.
Our next event in Dubai is scheduled from 3rd -8th May.
