Russian diamonds are best friends of girls around the world

Experts say that China and India will become the main consumers of diamonds by 2020 and that they will outstrip the USA, today’s current leader. The reason for this is that the American tradition to wear jewelry with diamonds is becoming very popular there.

Russia that is one of the leaders on the world market of diamond raw materials is not subject to this tendency. Practically, all Russian diamonds go abroad.

The USA, traditionally, remains the largest consumer of diamonds. There is a tradition among Americans to give their fiancées diamond engagement rings and to frequent the society in all brilliance of their diamonds. However, as a result of the financial crisis, the sales of diamonds have dropped.

There is a reverse tendency in China and India, where jewelry with diamonds is in great demand. It can be explained by the fact that people are becoming more prosperous there and also thanks to the growing popularity of the Western culture, an analyst with the Invest cafe Agency, Andrei Shenk, says.

"Regarding China and India, we can say that the two countries’ economies are developing dynamically. The people’s real incomes are rapidly growing as well. Besides, they are becoming more financially solvent. That is why it is quite logical that these two countries will outstrip the USA in the consumption of diamonds by 2020."

Russia ranks among the leaders in the volume of extraction of natural diamonds, and it is determined to keep its high positions on the diamond market in the future too. The Russian diamond mining companies have solid diamond reserves that are confirmed as of today. For example, the Russian Alrosa Company extracts diamond raw materials in the volume of approximately 35 million carats annually, and its confirmed resources exceed 970 million carats, which means that it will last some 25 to 30 years. Alrosa supplies only about 25 per cent of diamonds to the home market while all the rest is meant for export. Cartier, Tiffany and many other world luxury brands use Russian diamonds.

Regarding domestic demand, we should say that it is at a low level. As compared with the USA, India, China, and Japan, there is no tradition in Russia to wear diamond jewelry, Chief of the Examination Department at the Lomonosov Moscow State University Yuri Shelementiyev says:

"In the 20th century it became clear that these traditions had emerged thanks to the efforts of the diamond mining companies – such as De Beers and many others, which by means of their advertising created stable traditions of diamond consumption."

Partly, a low demand on diamond jewelry in Russia can be explained by the fact that Russian women remain committed to European culture. In Europe diamond jewelry is mainly meant to be worn during parties, not in the daytime. Simple gold and silver jewelry is more popular in Russia.

Despite that, more than 90 per cent of Russian women have jewelry with diamonds. Mainly, such are presents made on the occasion of their birthday and wedding anniversary, or some other significant event. Thus, diamonds are regarded as the best friends of Russian girls.

Source: Voice of Russia

M.W