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Global demand for diamond jewellery grew by three per cent in 2014, rising to a new $81 billion high, according to industry insight data published today by The De Beers Group of Companies.

The data showed that there was positive growth in consumer demand for diamond jewellery in local currency terms in 2014 across all the top five diamond markets, which between them account for about 75 per cent of global demand.

Market analysis also showed that:

• Consumer demand in the US, the world’s largest market for diamond jewellery sales, was particularly strong, increasing seven per cent on 2013 levels to a total of $37 billion.
• China was also a significant driver of global growth, with demand increasing six per cent in 2014 to a total of RMB 62 billion. Whilst this was below the growth rate in 2013, it still represented a substantial increase as the consumption base has grown so rapidly in recent years.
• The Indian market saw growth of three per cent in local currency terms to INR 220 billion, with lower consumer confidence in the first half offsetting a stronger second half. However, the depreciation of the Rupee against the US Dollar meant that the Indian market saw a one per cent decrease in US Dollar terms.

Sales growth over the holiday season accelerated in India, where expectations going into 2015 are for continued strengthening of growth rates. However, the fourth quarter of the year saw a slower pace of growth across the luxury goods category in both the US and China. In the US there was a trend towards less Christmas gift shopping immediately before Christmas, driven by early retail promotional activity. Meanwhile, growth in China was impacted by a softer macroeconomic environment and the protests in Hong Kong.

De Beers’ surveys show that the outlook for diamond jewellery sales growth in 2015 is positive across all main markets as retailers anticipate another year of growing consumer demand. Optimism among jewellery retailers is highest in the US and India, while growth in China is expected to pick up after the Chinese New Year.

Philippe Mellier, Chief Executive, De Beers Group, said: “2014 was another strong year for diamond jewellery demand across the world, as we saw continued growth across both mature and quickly developing markets. Retailers are also positive about the prospects for 2015 and, while there are some potential headwinds, the stage is set for another good showing across the major consumer markets.

“As the number of middle class households in the major consumer markets is set to grow by hundreds of millions in the years ahead, the medium to long term prospects for the diamond industry are also exceptionally strong if the right investments continue to be made across the value chain.”

Contact

David Johnson
Tel +44 (0) 20 7430 3434
[email protected]

Lynette Gould
Tel +44 (0) 20 7430 3434
[email protected]

NOTES TO EDITORS

The full set of industry insight data is available for download here.

About The De Beers Group of Companies

De Beers is a member of the Anglo American group. Established in 1888, De Beers is the world’s leading diamond company with unrivalled expertise in the exploration, mining and marketing of diamonds. Together with its joint venture partners, De Beers employs more than 20,000 people (directly and as contractors) across the diamond pipeline, and is the world’s largest diamond producer by value, with mining operations in Botswana, Canada, Namibia and South Africa. As part of the company’s operating philosophy, the people of De Beers are committed to Living up to Diamonds by making a lasting contribution to the communities in which they live and work, and transforming natural resources into shared national wealth. For further information about De Beers, visit www.debeersgroup.com.