Sightholders refuse 15% of $570M De Beers sight

Avi Krawitz

De Beers sightholders expressed frustration following the October sight as there remains little profitability or liquidity on the rough market. The De Beers sight, which ended on October 4, had an estimated value of $570 million before refusals. An estimated 15 percent of goods, or $86 million worth, were left on the table.

People are still frustrated,” an Antwerp-based sightholder told Rapaport News. “There’s no liquidity in the market and there’s no profit margin in dealing or manufacturing De Beers rough at the moment.

De Beers decreased prices by mid- to high-single-digit percentages on the Indian rejection goods but changed the assortments in some of the boxes, which sightholders noted effectively increased their value. The company raised prices on some boxes, most notably in the 4 grainers to 8 grainers by low to mid-single-digit percentages, with some adjustments made to the assortments.

A Mumbai-based sightholder reported that assortments were weak across the board, particularly in the 4 grainers and larger goods, which effectively raised the price and value of the boxes.It doesn’t make sense because we were hardly making money on last month’s goods,” he said.

Read more here

Source Rapaport