Diamcor Affected by India’s Demonetization

Kelowna (Canada): Diamcor reported weaker prices at its fiscal third-quarter tenders as India’s demonetization policy that sapped liquidity from the market hit the miner’s sales.

The company fetched an average price of $125 per carat at rough-diamond tenders held during the three months that ended December 31, versus $127 per carat reported from a year ago.

“The price per carat realized during the tenders and sales continued to reflect weaknesses in certain categories of rough diamonds,” Diamcor said. Additional weakness was “experienced in the prices of smaller goods in December due to widely reported currency issues in India during the period,” it added.

Total sales in the quarter stood at $1.2 million from 9,435 carats, the miner reported. Diamcor's November tender garnered $558,759 at an average price of $137 per carat, while in December it sold $624,926 for $117 per carat.

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