In February, the diamond market experienced a seasonal slowdown. Nevertheless, prices for round diamonds graded D to G, with clarity levels from Internally Flawless (IF) to Very Slightly Included 1 (VS1), remained resilient, according to Rapaport. Prices for elongated fancy shapes remained steady, while diamonds weighing two carats or more saw an increase, reflecting a reduction in polished inventory.
The RapNet Diamond Index (RAPI™) for 1-carat diamonds increased by 0.2%. The index for 0.30-carat diamonds rose by 3.7%, driven by strong demand for D to E grades and IF to VVS1 clarity. The RAPI for 0.50-carat diamonds rose by 0.2%, and 3-carat prices increased by 0.3%.
The American retail scene held steady. Sales for Valentine’s Day hit their targets. US dealers chose when restocking, which led to shortages of popular items while less-wanted goods piled up in storage. The Tucson shows did well, and Rapaport teamed up with the American Gem Trade Association (AGTA) to start the RapNet Gem Trading Network.
The Hong Kong International Diamond, Gem & Pearl Show exceeded expectations in the loose diamond segment, with firm prices at the onset and strong participation from international buyers, though attendance from Chinese buyers was limited.
On February 25, Botswana and De Beers reached a new agreement granting Botswana 30% of diamonds from their joint venture, Debswana, over the next five years, increasing to 40% thereafter. De Beers also committed to a $75 million diamond development fund for economic diversification and job creation.
Anglo-American reported a $2.88 billion reduction in De Beers’ book value, now at $4.1 billion, alongside a 23% revenue decline to $3.29 billion and a net loss of $288 million. Prices remained stable at De Beers’ sight on February 24, while secondary-market prices for rough diamonds below 0.50 carats increased.
Regulatory developments include the European Union’s postponing diamond traceability rules until January 2026 and the United States’ delaying its controversial “country of mining” requirement for polished diamond imports.
Image Source: GJEPC India
