Diamonds' comeback

After an entire decade of recession, it seems that luxury products are recovering and great companies (Burberry, PPR) are announcing positive sales numbers. Last year, world market shrunk but this year things are looking surprisingly well with China leading the way. This recovery of course includes diamonds. De Beers, world’s leading diamond mining company, after being forced to reduce its production in half these past few years, due to a serious reduction in orders, this year is witnessing a rise that almost equates past years numbers. However, the biggest problem that the diamond industry is facing is the depletion of diamond mines, coming sooner than experts expected, due to China’s rising presence. In the past few years more and more Chinese buy diamonds and in the big cities 40% of couples prefer this kind of jewelry for their wedding. 15 years ago they weren’t familiar with this concept. All this lead De Beers to take action and reduce its production by setting a limit of 40 million dollars per year, hoping this way it will be able to control prices and keep its production active for a longer period of time.