2H Slump Dents De Beers Sales Volume

RAPAPORT... De Beers' sales volume fell 4% last year due to weakeneddemand for lower-value diamonds in the second half. The miner sold 33.7 million carats of rough, compared with 35.1million carats in 2017, as clients bought fewer of its cheaper stones, itreported Thursday. De Beers' average price for sales - excluding some sales by itsjoint-venture partners - rose 6% to $171 per carat for the year, reflecting thelarger proportion of higher-value goods. As a result, rough-sales valueincreased 2% to $5.39 billion for 2018, according to Rapaport estimates basedon De Beers' sight reports. The company's average price index, which tracks itsrough prices on a like-for-like basis, declined 1% in the second half, but ended 2018 up 1% versus the previousyear. Production grew 6% to 35.3 million carats, exceeding salesvolume. Sales jumped 21% to 9.9 million carats in the fourthquarter, with revenues also increasing, as the company allowed sightholders todefer purchases from the September sight to later months. Production grew 12%to 9.1 million carats for the quarter.Image: De Beers' Victor mine in Canada, which is scheduled to close this year. (De Beers)