The world’s largest diamond mining company, the De Beers Group, has suspended all online rough auctions for the remainder of the year.
The decision was made to stabilise a sluggish market, with the company also offering sightholders ‘full flexibility’ at the remaining two sales of the year.
The announcement comes as De Beers publishes the results from its latest cycle, which generated just $US200 million ($AU314.1 million) in sales.
Hosted between 18 September and 3 October, the cycle marked a 61 per cent decline in sales on a year-on-year comparison and a 46 per cent decline from August.
“De Beers reduced its rough diamond availability and made sales of $US200 million as the industry’s midstream rebalances certain areas of stock accumulation,” CEO Al Cook said.
“De Beers will continue to support its sightholders to help re-establish equilibrium between wholesale supply and demand by providing full flexibility for rough diamond allocations in sights nine and 10 of 2023.”
De Beers hosts ten sights each year in Botswana, with the next scheduled to begin on 23 October.
Rival diamond mining company Alrosa recently cancelled its September and October allocations to ease oversupply pressure.
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