Diamond prices showed mixed trends in the second half of 2024, with significant variations across different segments. The market began showing signs of stabilization in August after experiencing downward pressure in the earlier months. Fancy shapes, particularly emeralds, radiants, and ovals, performed better than round diamonds, displaying stronger demand and price resilience.
The festive season starting from Diwali through Christmas brought some positive momentum to the market. This was further supported by supply constraints, as major miners including De Beers and Petra cancelled their sight sales in August, creating scarcity in certain segments. The reduced supply, combined with the typical production cycle of two to three months, led to upward price pressure during the November-December period, particularly for specific diamond categories.
However, the broader market faced challenges from increased competition from lab-grown diamonds and weakened global macroeconomic conditions. This was particularly evident in export markets, where polished diamond prices remained under pressure. The Indian domestic market emerged as a bright spot, showing robust demand driven by strong economic conditions and increased spending power among upper and upper-middle-class consumers.