It’s a time of new beginnings, full of promise, and don’t let the nearing Fall fool you for a minute. The shortening days, cooler weather and occasional rains carry a fresh promise more often associated with Spring. The ending of summer is taking with it the harsh heat and oppressive humidity of financial pressures; business should be slowly, timidly, warming-up, cautiously acting against the elements of nature.
Last month gloomy traders were surprised at the level of business at the important IIJS show in Mumbai. Those were the very earliest signs of a possible bloom. On its sidelines, the Indian diamond sector announced plans to launch a generic marketing campaign.
Right afterwards, traders in New York City, Antwerp and Ramat Gan returned to work from their extended summer vacations, starting to test the market with new prices, contacting their regular buyers, slowly getting their businesses back into motion.
Last week the Diamond Trading Company lowered rough diamond prices, easing the pressure on manufacturers, giving them the needed relief to start polishing goods that will be sold at lower prices, and hopefully enticing buyers to grab the opportunity before rough prices start climbing again, pushing up polished prices with them.
This week another De Beers firm, Forevermark, announced positive, promotionally-oriented fourth quarter marketing plans.
Next week is the Jewish New Year and Ganesh Chaturthi, a celebration of the Hindu god Ganesh’s birth. Both symbolize new beginnings, fresh and promising starts.
Then the big test starts – the Hong Kong Jewellery & Gem Fair. The growth of the entire diamond pipeline currently hangs on demand levels that expand in multiples of that seen in traditional markets, namely the U.S. If the East Asian markets warm-up to diamond jewelry and buyers show up at the fair with a decision to buy, 2012 is salvaged and the path to a decent fourth quarter will be paved.
Yes, there are some dark and heavy clouds looming above. However, in the unique and special world of diamonds, they can be early signs of blooming business. It is for all of us in the industry to cultivate it, carefully and responsibly, to reap the benefits in due time, for the sun rays start shining from the east.
To new beginnings, Happy holidays!