burdened diamond dealers welcome supply cut

The head of a diamond trading group said a downturn in the United States, the world's top consumer, may compound his members debt burden, and as such he welcomed a move by De Beers to trim supply in the coming months. Avi Paz, president of the World Federation of Diamond Bourses, told Reuters in an interview on Tuesday he was concerned about the debt burden in the diamond industry.
"The banks are nervous, the banks are looking at every diamond dealer, and looking at the debt and how they are covered," he said by telephone from Israel.
"I call on my colleagues to be careful, to have liquidity."
A rough estimate of total debt in the diamond industry was $12 billion to $15 billion, but so far there had been only isolated problems, he added.
The Belgium-based federation is an umbrella organisation representing 26 member bourses that trade in rough and polished diamonds and precious stones.
Paz issued a statement last week asking diamond producers to reduce supply during the current economic turmoil to stabilise the sector.
He welcomed a move by diamond giant De Beers, which controls around 40 percent of the market, to reduce the amount of unpolished gems at its next two sales due to reduced demand.
"This is a very important statement, it will assure the diamond industry worldwide."
"BE CAREFUL"
He said De Beers "sightholders" -- tightly screened clients -- had an obligation to buy the unpolished diamonds on offer at periodic sales.
In the current economic climate, however, they might find it difficult to sell all the processed material to jewellery makers and end up with increased debt burdens.
Diamond prices, which have surged in recent years on tight supply and buoyant demand, have recently been hit by the global credit crisis.
Until now mass-market jewellery using small diamonds have been hardest hit by the downturn in the United States, the biggest consumer of diamond jewellery, accounting for half of the total market.
But recently, even prices of large, high-quality stones that appeal to the very wealthy have declined.
A lot of diamonds were still being sold in the United States and the product should appeal to people wanting a safe haven investment, Paz said.
But he urged those in the industry to be cautious about developments in the future. "I'm worried, I think people should be careful about next year... they should take steps to be liquid and not over-buy in polished and in rough (diamonds)."
De Beers, 45 percent owned by mining group Anglo American Plc, said in August it had boosted rough diamond prices by around 16 percent so far in 2008 due to strong demand.
But it said in July it was cautious about developments in the second half due to a downturn in the United States.

White Gold & Black Pearl Pendant

White gold orbit pendant set with diamonds and a black pearl.

Most of Ofiesh's work incorporates moving elements. With the flick of a hinge, a ring becomes a pendant. Or among the artist's patented Orbit Collection, a band of brilliant diamonds set in platinum spins around a simple gold bead or an elegant ring.

All of the artist's work is designed, forged, and formed by hand. Since Ofiesh is a self-taught goldsmith, he uses tools in non-traditional ways, and his methods are often unconventional by jewelry standards. He is as creative in his approach to design as he is open-minded about how to make things work.

Ofiesh took workshops along the way with noted metal workers Heikki Seppa and Ronald Pearson. He also studied gem-setting at the Revere Academy in the mid 1980s. But mostly he continued to work on his own moving from silver to gold, refining techniques, and developing his interest in jewelry that moves.

Ofiesh travels around the country exhibiting at prestigious craft shows such as the American Craft Enterprises fairs in Baltimore, San Francisco and St. Paul. Over the years he has received numerous awards at these shows.

Unable to land a prep school teaching job, Ofiesh, an English literature graduate from the University of Virginia, traveled to the small town of Chatham, Virginia, in 1973 to try to sell some of the silver jewelry he made as a hobby. He made $400 in one weekend, and that small commercial success sparked the beginnings of a 30-year career as a jewelry designer.

Goldsmiths Adds Three New Diamond Lines

Goldsmiths jewelers in the U.K. added new features to its website in addition to offering new diamond jewelry collections. There are three new ranges in the diamond collection: Octavia, Ardesco, and Radiant Star.

The diamond jewelry collections are being introduced into Goldsmiths stores now.

The jeweler described Octavia as comprising of rings, earrings, bangle and pendant necklaces made from 18 karat yellow or white gold. This range is designed in a traditional style and all pieces are set with brilliant-cut diamonds.

The Radiant Star collection features a new cut for the jeweler (with 145 facets,) and the range includes a pendant necklace, rings, and earrings.

The Ardesco features square-cut diamonds in a pendant necklace, rings, and earrings.

New features on the website include a "fashion trends" section analyzing the latest trends and influences from the catwalks and a "find the perfect gift" section featuring ideas for for gifts for any special occasion.

Customers can also use online wishlists, enter competitions, and set up personal accounts to guarantee secure transactions and track existing orders.

http://www.goldsmiths.co.uk

Pearls of wisdom

Even in tough economic times, last year Dubai saw gold and diamond jewellery sales rise by 15% and an amazing 47% respectively. Dubai was not built on gold, or even oil. In fact, it's position as a trading hub and exporter was earned from the more humble pearl, and this year's Dubai International Jewellery Week celebrates the natural resource that gave Dubai its first taste of prosperity. The pearling industry was the main source of income and employment for the people of the Arabian Gulf Coast in the nineteenth and early twentieth centuries. Many of the semi-nomadic inhabitants of the region would fish for pearls in the summer and then tend their date plantations for the rest of the year. The beginning of the end for the region's pearling industry came with the onset of the First World War, however it was the economic depression of the twenties and thirties, along with the Japanese invention of the cultured pearl, which dealt the trade its most devastating blow. Pearling eventually ceased after the Second World War, when the newly independent Government of India imposed heavy taxation on pearls imported from the Gulf. Fortunately for the people of Dubai and the neighbouring states, oil was on the horizon. Today, pearl jewellery has enjoyed something of a resurgence, shedding its old-fashioned image, and is once again at the forefront of current jewellery trends. Pearl jewellery is no longer simply associated with the traditional white pearl necklace. In fact, its popularity now stems from its versatility, with pearls available in a huge variety of colours, shapes and textures, as well as more imaginative uses of pearls in modern jewellery designs. One of the hottest jewellery trends of the moment is to wear several strands of pearls at once. These can be different lengths and designs but for maximum impact should be the same colour. 'Bold' is key, with oversized white, black or coloured pearls a feature in chunky necklaces, rings, bracelets and earrings. Colour is big news in the jewellery trade this season and pearls are no exception. Some of the coloured pearls on show at Dubai International Jewellery Week include a new range of chocolate-coloured Tahiti pearl jewellery from Europearls, one of the world's largest pearl companies. The range includes bracelets, necklaces and pendants and combines beautiful chocolate Tahiti pearls with diamonds in striking modern designs. Also exhibiting at the show is the Chinese-based Fine Pearl Jewelry Co. Ltd, which has developed a range of jewellery which mixes pearls of all shapes with diamonds, coloured gems and jade. Dubai International Jewellery Week holds a treasure trove of beautiful jewellery, which is sure to delight pearl-lovers and win over skeptics who thought pearls were only worn by their grandmothers.