Goods Worth $200 Million Left on Table at De Beers' Sight

Rapaport reported that De Beers’ July sight closed with about $200 million worth of goods still on the table. Overall diamond prices and assortment quality at the sight were reportedly stable, but sightholder sentiment was nevertheless very low.
As quoted in the market news:

De Beers announced ahead of sight week that sightholders would be allowed to defer an extra 25 percent of their total allocation of goods. Sightholders are traditionally allowed to defer one box per rough category within a six-month period. As a result, the exact amount of goods refused at the July sight, as opposed to those deferred to a later sight, was unclear.
Earlier this year, De Beers allowed sightholders to defer an additional 25 percent of their allocations during the first two sights of 2015. Market observers have noted that the company has proven more willing to reduce sales volume than prices amid softness in the rough market since the second half of 2014. Rapaport News estimates that De Beers has lowered the prices for its rough diamonds an average of 7 percent since the beginning of the year.

One India-based sightholder commented:

To be honest, people are really fed up and everyone is looking after their own business now rather than worrying about keeping their name in good standing with De Beers. Even if De Beers reduces prices by 5 percent, I don’t think it will be enough to prevent a high level of deferrals and refusals at the next sight.

Click here to read the full Rapaport report.