The Hong Kong International Jewellery Show that took place this week injected some confidence into the diamond trade, even though the market is not booming. That the show was okay, and met expectations, was enough to ensure that the positive mood that has engulfed the diamond industry so far in 2014 will continue – at least in the near future.
[two_third]The diamond industry tends to place a strong emphasis on the March show as it is the first major trade event after Christmas, and more importantly, the Chinese New Year. Wholesalers and retailers should be looking to replenish sold inventory and diamond dealers ought to be filling orders accordingly.
However, the reality of recent years is that buyers are prepared to wait out unfavorable market conditions before making large bulk orders. Retailers are cautious about buying excess goods and are managing with leaner inventory than before.[/two_third]
[one_third_last]
“Retailers are cautious about buying excess goods and are managing with leaner inventory than before.”
[/one_third_last]
The market has hardly been favorable to buyers this year as polished diamonds prices were relatively high going into the show. The RapNet Diamond Index (RAPI) for 1-carat certified diamonds rose 1.5 percent in the first two months of the year, while RAPI for 0.30-carat and 0.50-carat diamonds increased by 4.6 percent and 4.5 percent respectively. Then again, prices for most categories declined in 2013.
Picture Hong Kong International Diamond, Gem & Pearl Show.
