Alrosa trading session with Alliance members
Alrosa in January held a trading session for its client companies basing on the updated list of the members of Alrosa Alliance. When a client becomes a part of Alrosa Alliance, it means that the client belongs to loyal buyers of rough diamonds. Meeting the requirements of Alrosa Alliance is an essential condition for companies wishing to become Alrosa’s long-term clients.
Alrosa Alliance members have a right to use a relevant logo that confirms the client’s reputation as a reliable and trusted participant of the global rough diamond market. Alrosa decided to integrate the industrial diamonds consumers into the community. In January 2020, Alrosa Alliance welcomed 15 new members and increased their total number to 76. New Alrosa Alliance members include 4 jewelry companies and 11 clients specializing in industrial rough diamonds.
Adding buyers of industrial rough diamonds to the narrow group of Alrosa Alliance members serves to help responsible participants of the industrial rough diamond market, whose products meet Russian quality standards, to distinguish their products from lab-grown diamonds.
“Adhering to inviolability of Alrosa Alliance guidelines, we decided to expand these criteria to buyers of our industrial rough diamonds. We ran a check-up to include in the alliance 10 long-term clients and one spot buyer who purchase industrial rough diamonds from us and meet key requirements of Alrosa Alliance,” commented Evgeny Agureev, Deputy CEO of Alrosa.
“We also completed another analysis of activity level and requirements of our long-term clients after the second year of the current contract period. Besides, we updated the list of Alrosa Alliance members nominated for signing long-term agreements in the future. The list comprises four spot buyers of gem-quality rough diamonds and one buyer of industrial rough diamonds.”
Alrosa’s long-term contracts guarantee volumes of monthly supplies, product mix and a possibility to purchase additional batches of rough diamonds. This form of cooperation ensures the stability of rough diamonds sales for the diamond miner and its clients as well as the protection against the volatility in diamond prices in the global market.
Long-term contracts form the basis of Alrosa’s sales policy, accounting for up to 70% of all sales. All Alrosa’s long-term clients are Alrosa Alliance members. Current three-year contracts with Alrosa last from 2018 to 2020.
