Israel's Rebound Continues as Exports Grow

RAPAPORT... Israel's polished-diamond exports increased in the first quarter of 2021, indicating a continued recovery following last year's sharp slowdown.Shipments rose 12% year on year to $827.6 million for the three months, the country's Ministry of Economy and Industry reported Tuesday. Export volume climbed 24% to 385,344 carats, with the average price down 10% at $2,148 per carat.The increase reflects a gradual rebound in Israel's diamond industry after the coronavirus pandemic caused a downturn in the second quarter of 2020. Polished exports fell 31% last year as a heavy slump during the peak of the crisis outweighed improvements in the second half."The Israeli diamond industry has reasons for optimism after a difficult period," said Ophir Gore, the nation's diamond controller. "The data that have been recorded in the global diamond sector, and specifically in the US and Chinese diamond and jewelry markets, in recent months point to a speedy recovery. We estimate that the second quarter, like the first, will also be reasonably positive from the sector's point of view, barring any surprises."Polished imports into Israel jumped 61% to $646.6 million in the first quarter of 2021. Rough imports leaped 76% to $476.3 million, while rough exports climbed 66% to $389.8 million.The figures are on a net basis, meaning they exclude goods shipped overseas and returned, usually because they went unsold. On a gross basis - before returns - polished exports declined 10% to $1.43 billion. Image: The Israeli diamond city of Ramat Gan, viewed from Tel Aviv. (Shutterstock)