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TRANS ATLANTIC GEM SALES MARKET & TENDER REPORT - JUNE / JULY 2026
MARKET OVERVIEW: Many of the market uncertainties reported in the last report remain applicable, due to ongoing geopolitical unrest and the continuation of the tentative situation between US and Iran. However, the market appears to have adapted to the changes and certainly from a TAGS perspective, tenders have continued with a high level of attendance and success. In addition to a broader acceptance of the current environment from the customer base and a return to a near normal trading situation, we have also witnessed some significant changes from the rough Producer side who have made significant changes to align to the current trading environment, and this has been broadly applauded by the industry. ROUGH As mentioned in many previous reports the crisis under which the industry has suffered following the post pandemic slump, the collapse of the Chinese market and the exponential growth of synthetic (LGD), alongside the global political issues are hard to underestimate. During this period, De Beers reduced production to support prices, but large volumes of stones from Angola undermined their efforts and continued weak demand failed to address the problem. While some adjustments to assortments, and the continuation of ‘one-line invoices’ went a long way to disguise price changes, it is reported that reductions of up to 50% were made, particularly focusing on the smaller size ranges. While adjustments of this magnitude are relatively unknown from De Beers, they were welcomed by the market as they now represent the market reality and put De Beers back into the market. At the same time some prices in larger sizes increased to reflect market realities. Almost all boxes are now considered to be priced correctly. There was initial concern that these actions would further drive down prices in the secondary market, in fact the opposite has occurred. The market response has been positive, and rough prices have firmed up. A second difficult decision by De Beers has been to pause production at the South African Venetia mine for a period of 2 years. Venetia produces a significant volume of the cheaper smaller sized goods, that have been hit particularly hard by the growth of synthetic diamonds. The suspension of Venetia represents a reduction of around 10% of De Beers production, and the company stated they will mine more marketable goods elsewhere Angola have also recently reduced the production of smaller sizes, and as previously reported several small junior mining operations have closed. Alrosa reports it will close its Severalmaz production for 3 months to manage supply levels. ODC results were published on 16 July. Interestingly they showed a good increase in prices of smaller sizes and lower qualities. The past 6 months has seen very cautious purchases by manufacturers. We are now beginning to see the first signs of rough shortages in the market, which is a position we have not seen for a considerable time. This also applies to smaller sized diamonds, which may well reflect the ODC results. POLISHED Sharper price increase in smaller sizes have been seen throughout June particularly in 0.30-0.50 points, with inventory shortages supporting upward prices. Generally other sizes +2ct remain the strongest category. US wholesalers have been quiet during the extended July 4th holiday period and the start of the summer season. Advance order for both Rounds and Fancies, have been made in high end goods, and sizes 1.00-1.99cts.This is a clear broadening of demand for what has been primarily the +2ct category India has been seasonally quiet, but there is expectation of good demand ahead of the IIJS Show in Mumbai, August 5 -10 , and the commencement of the wedding season in October. Reports indicate buyers are showing increased confidence, and prices remain firm. China still shows little sign of improvement. The Hong Kong market remains focused on diamonds as a luxury purchase for investment. Strongest demand is in +2ct and larger, with synthetics fulfilling the lower end demand. The synthetic wholesale price continues to decline. Year on year reductions have been 13%, with a 96% decline since tracking began in 2018. With albeit fragile indications that polished prices have begun to stabalise, and leading rough producers addressing both supply levels and pricing imbalance in the mid-stream, the time could be right for the industry to push back against the impact of synthetics. This might be achieved through increased marketing initiatives as seen by De Beers, and a push to reposition natural diamonds as the investment and symbol of love that they previously represented. Both ethical and environmental credentials of synthetic diamonds have been used to misrepresent the natural product, and the social and economic benefits provided to producer countries appear to have been overlooked for too long. TAGS TENDERS: During the months of June and July, we hosted several tenders. In early June, TAGS hosted a tender in Luanda under its partnership with SODIAM, featuring an exceptional selection of +10.8 carat single stones from ten mines, together with a full run-of-mine production from an eleventh mine. The tender achieved a 95% sell-through rate, with only two lots remaining unsold, and generated total sales revenue of $21.7 million. Prices once again exceeded the participating mines’ expectations, while the event received highly positive feedback from the specialist international buyers who travelled to Luanda to participate. These results further demonstrate the strength of global demand for high-value, larger rough diamonds. One Original Zimbabwean tender, held in Dubai in early June, delivered a 100% sell through. Prices in the better qualities remained firm whereas there was a further small reduction in the lowest ranges. A second tender presenting a range of market goods across all sizes and colours, received a slightly weaker sell through, due to withdrawals in the smaller and cheaper ranges of rough. In Johannesburg we presented a full range of South African productions in both June and July. The June tender was one of the largest we have presented to date, reflecting the continued growth of support we are developing from local producers and suppliers. In both June and July tenders, approximately 75% of Lots presented were sold, to a record number of participants. Our most recent Dubai sale consisted of regular Southern African production with a focus on larger sizes +10cts. The quality and range of goods on offer were amongst some of the best we have presented in many months and attendance was extremely high. Over 80% of goods presented were successfully sold for $15.2 million to 41 successful companies. Our upcoming August tenders are as follows:
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