Arjav Diamonds’ second auction yields low sales

The second rough diamond auction by Surat-based diamond company, Arjav Diamonds yielded a disappointing result as only 27 of the 60 lots offered being sold. This performance comes as dismal, since the company’s first online rough diamond auction held in June 2011, which also was the very first of its kind in India had sold 46 of the 60 lots on offer, and received a healthy participation not only from Indian diamond firms but also from those abroad. It had generated $12.5 million.

The company, which is a subsidiary of Arjav diamonds Antwerp, notes that rising prices of rough diamonds and gold, the strain on liquidity and market uncertainty could have affected demand at its second auction. The rough diamond lots offered were in the range of 5 carats to larger than 132 carats. The company also noted that of the lots were bought at ‘attractive prices’ despite the low response. The largest stone sold weighed 132 carats. The auction was held on August 12.