Armenia registered accelerated rate of decline of diamonds export and import in 2015

ArmInfo. In 2015 export and import of diamonds in Armenia fell more sharply compared to 2014. According to the report of the Customs Service of Armenia in 2015 the export of diamonds dropped by 403% to 95.5 thousand carats versus 21% drop to 160 carats in 2014. At the same time import declined in 2015 by 30% to 242 thousand carats versus 15% decline to 345.7 thousand carats in 2014.

In monetary terms the import of rough diamonds declined by 41.2% to 87.2 mln USD versus 148.3 mln USD in 2014. 39% is being imported from UAE, 26% from Belgium, 7.6% from India, 6% from Russia, 5.7% from Israel, 4.7% from Switzerland, around 2.7% from South Africa, 1.7% from Namibia, more than 1.5% from Canada and 0.4% from Honduras.

Meanwhile, the customs cost of exported diamonds fell by 42.8% from 117.8 mln in 2014 to 67.4 mln USD in 2015. Armenia does not have diamond fields, so it imports rough diamonds for their further polishing and export primarily to the same countries, from which it imports the initial product. Main export goes to UAE and Belgium-27% and 21% respectively, which are followed by Russia (15.3%), the USA (8.6%) and Canada (8%). Diamonds are exported also to India, Switzerland, Thailand, Italy and Belarus.

Traditionally import of rough diamonds exceeds the export; the Ministry of Economy explains this by re- export to the third countries. After Armenia had joined Eurasian Economic Union re-export of rough diamonds was forbidden.

To note for comparison that in 2013, export of diamonds increased by 49.2% and import increased by 51.6%. In 2012, export of diamonds declined by 61.3% to 135.9 thousand carats, and the import declined by 40.1% to 268 thousand carats.

According to the experts the market will be stable in 2016-2017. However staring from 2018 growing lack of diamonds will be registered in the world market because deterioration of resources of functioning diamond mines and sharp decline of world output. Besides, one of the main factors of growing prices on diamonds is growing demand in China, India and the USA. According to certain forecasts of the experts, during the upcoming 10 years the demand on diamonds will grow 5-20% annually. The analysts forecast than in 2017 the price on diamonds may grow by 20%. For now the USA holds leadership in output and sale of these precious stones.