Diamond Market Size and Trend Analysis
For any relevant institution or company in the business of doing proper research of the diamond market, there are several factors to consider.
For a start, at this very moment, the impact of Covid-19 is a massive deal for any report.
Besides, a researcher needs to check all of the prominent market players, types of diamonds, regions where said diamond types were mined and sold the most, and a lot more things.
The current market size and the current market situation could tell us a lot about the future as well.
Therefore, a report for 2021 could be a solid ground for trend analysis and market prediction for the oncoming years.
Major Players on the Diamond Market
As mentioned, one of the inevitable things to research is key market players. Depending on their productivity and offer, prices will be determined along with diamond market conditions.
This is the list of the current most prominent diamond market players:
2. De Beers
3. Debswana Diamond
4. Rio Tinto Diamonds
5. Dominion Diamonds
These 5 key players are dictating market prices as well as conditions in which one can buy and sell diamonds.
In 2019, the global diamond and jewelry market was worth approximately $79 billion, a number that has unfortunately decreased a bit in 2020 due to the Covid-19 pandemic.
Type Of Diamonds
Of course, with the rising talk about synthetic diamonds having supremacy over natural ones, we feel the need to mention this new phenomenon.
Recently, many major retailers, including Tiffani & Co. decided to start selling only synthetic diamonds.
Not only is that more affordable, but according to them, it’s more ecological as well.
People don’t need to work in mines, nobody’s health is endangered, and nature is left in its normal conditions.
However, can a synthetic diamond ever be like a real one?
The main difference, obviously, is the way these diamonds are made.
Synthetic diamonds are artificially manufactured in a lab, while Earth itself shapes natural diamonds.
As a result of this, lab-made diamonds have a higher level of perfection since they are made in a controlled environment.
They have higher clarity and clearer edges.
Yet, it is important for you not to mix fake diamonds made from glass and other materials up with diamonds made in labs.
These diamonds are real yet grown in the lab.
They have the same strength as natural ones, and are still the hardest material on Earth.
According to diamond analytics, there was around $18 billion worth of synthetic diamonds in 2020.
However, thanks to the South Pacific market, the largest lab-made diamond market on Earth, it’s expected for this number to increase around 7% by 2026.
Diamond Usage Globally
Besides being a valuable piece of jewelry, diamonds are also often used in other industries that people rarely think of.
As the hardest material on Earth, diamonds are used in the construction and mining industries for cutting purposes.
Besides, we’ve seen diamond appliances in electronics, healthcare, and other sectors as well. Thanks to a broad spectrum of usage and high demand, diamond prices are expected to grow over the next few years.
Biggest Diamond Consumers
Up until 2019, the USA was absolutely dominant as a diamond consumer, with over 50% of a market share.
However, we’ve recently had the opportunity to see some newcomers to the market, such as India and China, whose residents started showing immense diamond appreciation.
Alongside them, there are also diamond retailers in the UAE and Israel, which will inevitably lead to an increase in demand in these countries too.
Also, with the limited diamond supplies, we have a clear indicator of future price movements.
Diamond Market – Predictions
With all of the above in mind, we can conclude that diamond prices are expected to grow. Despite the Covid-19 pandemic and a slight decline in the number of produced diamonds in 2020, the last quarter has shown us that consumers still appreciate diamonds as the best gift for showing their affection for someone.
Therefore, following this trend, we can safely tell all the new market players and consumers that diamond prices are expected to grow.
In June 2021, the price was $10,977, while only a month earlier, it was 1.7% lower.
Global politics, Covid-19 vaccines, and understanding that life must go on have led to consumers going back to their old spending habits.
Besides, diamonds are cherished as one of the best investments and often compared to gold as a safe heaven.