Banking On Natural Diamonds - March 24, 2026

The Diavik mine stops production today, March 24th. Many smaller diamond mining operations, both in Canada and Africa, are closing. The Ekati mine remains open but it is struggling. 

Under these very harsh conditions, it is hard to believe that De Beers sold more rough by volume than it mined in 2025. They have reduced their 2026 production outlook, as well as their current stockpile of diamonds and have cut their sightholders by 30 percent.

The importance of this news is that there will be fewer natural diamonds entering the market and fewer companies in the pipeline.

The many interested parties negotiating to buy De Beers have calculated the risks and opportunities. The shear number of interested parties is recognition that business interests are prepared to risk their assets on natural diamonds.

The companies bidding for De Beers are calculating for a future with less supply, less competition and more consolidation. They see value in diamonds as an aspirational asset.

According to Max Fawcett the Global Head of Jewellery for Christie’s Auction House, human psychology will never change. “People want what other people can’t have, and that is going to be true forever”. 

Natural diamonds are the definition of luxury. James Roumeliotis, an author, lifestyle entrepreneur, lecturer/educator, and strategic advisor, explains luxury assets. 

“Selling luxury is often compared to selling seduction as both tap into emotion, desire, and aspiration rather than practical need. 

Luxury brands don’t just offer products...they offer a feeling, an identity, and an invitation into a world of exclusivity. 

Seduction is the emotional pathway; luxury is the tangible expression of it.”

Alrosa is also tightening rough and polished supply and have reported price increases of 6-9% in larger and better diamonds. These goods account for 80% of the company’s production value.

The current and future market for natural diamonds can be summarized in this recent market analysis by Edahn Golan. 

“Consumers are buying more high-priced pieces and more frequently. Average diamond jewelry transaction values jumped nearly 19%, the largest increase on record. The jewelry market is becoming increasingly K-shaped: higher-end demand is strong while the lower end remains soft.”

This is the scenario that the future owners of De Beers are banking on.

And that is the Regal Imports News … I thank you very much for watching.