GIA Cuts Prices 10% Amid Market Slowdown

RAPAPORT... The Gemological Institute of America (GIA) has temporarilyreduced grading fees for certain smaller diamonds after recording a drop in submissionsduring the recent industry slump. The organization is slashing prices of reports by 10% forpolished weighing from 0.30 to 0.49 carats until October 15, the GIA said in aletter to clients last week, seen by Rapaport News. "Right now, GIA isissuing fewer laboratory reports than normal because the industry isexperiencing challenging times," Tom Moses, the GIA's executive vice presidentand chief laboratory and research officer, wrote in the note. "The reduction isintended to stimulate submissions to deliver more grading reports, whichsupports our consumer-protection mission," a spokesperson for the GIA added ina statement Monday. The market for polished under 0.50 carats has dwindled thisyear as supply has far exceeded demand, with the RapNet Diamond Index (RAPI?,,?)for 0.30-carat diamonds sliding 12% in the first half. The index for thatcategory was 21% lower on July 1 compared with a year earlier. The GIA's discount applies to natural and lab-grown diamondssubmitted for Diamond Grading Reports, Diamond Origin Reports, DiamondDossiers, Laboratory-Grown Diamond Reports, Focus Reports, Diamond eReports andColored Diamond Grading Reports, the spokesperson explained. Image: Color grading at a GIA laboratory. (Eric Welch/GIA)