Diamond Industry 2015

Valuation and Export

The Global Diamond Industry 2015: Growth perspectives amid short-term challenges
December 08, 2015 Bain Brief
By Olya Linde, Aleksey Martynov, Ari Epstein and Stephane Fischler

In this year’s edition, we take a comprehensive look at the year’s major developments along the diamond value chain. We focus on the reasons for the recent drop in rough and polished prices against the background of continued but slowing growth in the macro economy.

As in previous years, we start with key developments along the value chain and a review of recent economic fundamentals that are the long-term drivers of diamond jewelry demand and prices.

We look at the long- and short-term factors influencing prices to better understand the recent declines in polished and rough-diamond prices and expectations for their recovery. We compare 2014 results with the results of previous years and review the market to date in 2015, which has been marked by demand uncertainty and price declines.

We also provide an update on the long-term outlook for the diamond industry through 2030. The 2030 supply-demand outlook is based on long-term macro-fundamental factors and incorporates the effects of the recent decline in demand from China.