Latest news with #LGDs
Time of India
27-06-2025
- Business
- Time of India
GIA discontinues 4Cs certification for lab-grown diamonds
The world's foremost authority on gemology and the world diamond certification body The Gemological Institute of America (GIA) has said it will discontinue giving certificates to consumers for lab-grown diamond (LGD) jewellery as they have decided to do away with the classification of LGDs based on colour, clarity, cut and carat weight – popularly known as 4Cs in the diamond trade parlance. However, the institute will continue to accept laboratory-grown diamonds for evaluation and identification. Pritesh Patel, chief operating officer of GIA, said that they will not issue any certificate to the buyers of LGD jewellery anymore. 'We provide that 4C certificate for natural diamond jewellery, but we will not extend that certification to LGDs.' GIA has offices in Mumbai and Surat – the trading and cutting, and polishing hub for diamonds, respectively. GIA invented the famous 4Cs of colour, clarity, cut and carat weight and in 1953 created the International Diamond Grading System, which is recognised around the world as the standard for diamond quality. Confirming the development, Vishwanath G, chairman of South India-based Wondr Diamonds, which sells both natural and LGDs, said, 'The GIA certification will continue for natural diamonds, but the institute will discontinue with certification for LGDs based on 4Cs. Now it will not issue that certificate.' Apart from GIA, the International Gemological Institute (IGI) issues certification for both natural and lab-grown diamonds . However, IGI is yet to reveal its certification strategy for LGDs. Earlier, GIA would issue a certificate for both natural and LGDs on the same parameters. 'Only the certificates mentioned natural or lab-grown diamonds. Otherwise, the certificates would look similar,' said a Mumbai-based diamond retailer. India produces 20 million carats of LGDs annually. 'Natural diamonds are rare, and it takes billions of years to form natural diamonds. The supply of the rock is limited. On the contrary, LGDs are man-made and can be produced at any time. Therefore, they are not comparable in any way. And consumers should not have any confusion about that,' said Susan Jacques, President & CEO of GIA. More than 95 per cent of laboratory-grown diamonds entering the market fall into a very narrow range of colour and clarity. Because of that, it is no longer relevant for GIA to describe man-made diamonds using the nomenclature created for the continuum of colour and clarity of natural diamonds, Jacques said. GIA will start using descriptive terms to characterise the quality of laboratory-grown diamonds and will no longer use the colour and clarity nomenclature that it developed for natural diamonds. The revised GIA description system for laboratory-grown diamonds will confirm that the submitted item is a laboratory-grown diamond and whether it falls into one of two categories, 'premium' or 'standard.' The categories will be defined by a combination of metrics related to colour, clarity and finish. If the man-made diamond fails to achieve the minimum standard for quality, it will not receive a designation from GIA. Until the revised descriptive system for laboratory-grown diamonds is finalised, the current GIA services for laboratory-grown diamonds will continue to be available. This change to how GIA describes the quality of laboratory-grown diamonds will help consumers understand the important differences in the two products' origin, ensuring their confidence and enabling them to make informed and educated purchase decisions, Jacques added.
India Gazette
26-06-2025
- Business
- India Gazette
Indian diamond industry faces continued struggles amid demand slump and tariff woes: ICRA
ANI 26 Jun 2025, 19:43 GMT+10 New Delhi [India] June 26 (ANI): India's cut and polished diamond (CPD) industry is set for another challenging fiscal year, with the recent report ICRA projecting a 7-10 per cent decline in exports in FY2026, following a 17% contraction in FY2025, weighed down by weak global demand and increasing competition from lab-grown diamonds (LGDs), the sector's outlook remains report by ICRA indicates CPD exports fell to a 20-year low of USD 13.3 billion in FY2025, impacted by a global macroeconomic slowdown and a growing consumer preference for cheaper, ethically sourced LGDs. These now constitute 8% of polished diamond exports, up from just 1% in the recent imposition of a 27 per cent reciprocal tariff by the US, a key market accounting for over a third of India's CPD exports, adds further pressure. Although currently paused with a 10 per cent interim tariff, exporters remain wary. Many are rerouting shipments through low-tariff hubs like Dubai and Belgium to mitigatethe report also highlights that operating profit margins for CPD firms fell by 400 basis points in FY2025 to approx. 4 per cent, with ICRA predicting a further dip to 3.6-3.7 per cent in FY2026. The working capital cycle also remains stretched, burdened by high inventory amid declining sales and cautious rough diamond prices for both rough and polished diamonds have dropped sharply, by 8 per cent and 7 per cent respectively in FY2025, while production cuts from miners like De Beers are expected to keep rough prices minor optimism for a recovery in bridal jewellery demand in the US in H2 FY2026, sustained weakness in Chinese demand and intensifying LGD competition continue to cloud the outlook. The CPD industry may need to adapt more aggressively to shifting consumer trends and tariff realignments to regain the bottom line, ICRA says the credit profile of Indian CPD entities is expected to remain weak in FY2026, characterised by modest earnings and a continued stretched working cycle. (ANI)
Time of India
18-06-2025
- Business
- Time of India
Surat industry calls Antwerp's 5-euro LGDs a ‘desperate move'
Surat: As the global natural diamond trade has begun to show signs of stability and trade bodies worldwide are putting extra efforts into pushing it through to recovery, competition between natural and lab-grown diamonds has heated up in Antwerp, the world's diamond trading hub. The leading diamond trade body, Antwerp World Diamond Centre (AWDC), which represents 1,470 Belgian diamond companies, last week launched a campaign, 'We Protect A Legacy'. Through this campaign, AWDC emphasizes Antwerp's role as the world's trading centre for natural diamonds and aims to raise public awareness about the differences between natural and synthetic diamonds. The campaign was launched in Antwerp's Stadsfeestzaal with a striking public stunt in which passersby could go to a gumball machine and get a synthetic diamond for five euros. "This symbolic act highlights the stark contrast in value between synthetic and natural diamonds," a statement from AWDC said. Meanwhile, Indian gems and jewellery trade leaders called this a desperate attempt, saying both products are equally important to the jewellery industry. "With a rich history of 580 years, the natural diamond trade is deeply embedded in the DNA of Antwerp. The campaign explicitly reinforces the city's role as a natural diamond hub — particularly in response to the growing popularity of synthetic diamonds and increasing consumer confusion about the difference," the AWDC said. "We're claiming this position openly and with full conviction," says Isidore Mörsel, president of AWDC. "Natural diamonds have been at the core of our existence for centuries. In the past five years, synthetic diamonds represented a negligible 0.6% of our total trade value. Moreover, Belgium is the first country in the world to protect consumers through a royal decree. Since 2023, jewellers are legally required to disclose whether a diamond is natural or synthetic before a purchase takes place." Former chairman of the Gem and Jewellery Export Promotion Council (GJEPC), Vipul Shah, said, "Natural and LGDs both have their dedicated markets, and both are going to survive. They are not in competition but complement each other." Shah is a leading natural diamond manufacturer and calls both products important for Indian gem and jewellery manufacturers. "The gumball machine was put in a public place where people, out of curiosity, went to check. There were posters informing people about LGDs and natural diamonds," said a diamond businessman who visited the spot. Smit Patel, convener of the LGD committee in GJEPC, said, "The move to demote LGD in an attempt to promote natural diamond is out of desperation. LGDs have a different consumer class and as a manufacturer, it is a product that generates employment and business here." LGD traders from Diamond City are busy fulfilling orders from all over the world. "LGDs are becoming popular fast all over the world and have huge demand. LGDs are equally important for our diamond manufacturing industries, and we are focusing on giving the best products to the world," said Haresh Narola, vice-president of the Surat LGD Association.
Time of India
23-05-2025
- Business
- Time of India
De Beers pushes for zero-tariff entry of cut and polished Indian diamonds into US
De Beers Group is working with the Indian government to create a zero-tariff policy for diamonds entering the United States after being cut and polished in India. The group has already met with commerce and industry minister Piyush Goyal and urged him to speak with his US counterpart to enable the 'free flow of diamonds'. Al Cook, CEO of De Beers Group, told ToI that 90% of diamonds are exported from India, and it is vital for the country to finalise a deal before 9 July. 'Britain and India seem to be doing very good jobs on working with tariff deals with the US. I am very confident that India will reach a deal ahead of July 9. We have already seen a deal in the UK,' he said. Cook mentioned that apart from India and the US, most of the world allows the 'free flow of natural diamonds ', as these are produced only in a few places globally, mostly in Africa. Since diamonds are mined in the US and then cut and polished in India, a zero-duty entry into the American market would not lead to any job losses, he said. 'We don't think there should be a tax on love,' the De Beers CEO said. Cook also spoke of changing trends in the diamond trade. He said that earlier, the focus used to be on diamonds 'from India' and 'by India', but now it is shifting to 'for India' and 'to India', referring to the growing demand within the country. India is now the second-largest market for natural diamonds in the world. The British-born CEO said that the Indian natural diamond market is set to double to $20 billion by 2030, up from $10 billion at present. He said this growth is driven by rising aspirations among Indian buyers. According to him, India's natural diamond consumption rose by 12% year-on-year in 2024. Commenting on the growing division between natural and lab-grown diamonds (LGDs), Cook said that with LGD wholesale value falling below $60 per carat, the importance of diamond testing technology has gone up. He said that India, which has overtaken China as the world's second-largest natural diamond market, is becoming more valuable to De Beers. Cook said Indian consumers, unlike their US counterparts, are not shifting in large numbers towards LGDs. 'One can buy 20 LGDs for the price of 1 carat of natural diamond,' he told ET. He added that LGDs will continue to be 'mass-produced, low-cost, pretty and fun jewellery to wear.' He said Indian buyers prefer natural diamonds because they value uniqueness. 'Indian consumers are more sophisticated, and they like natural things. They believe in the uniqueness of natural diamonds and therefore the demand is growing,' he said. De Beers recently closed its LGD jewellery brand Lightbox, which was launched in 2018. This move reflects the group's renewed focus on natural diamonds. Meanwhile, prices of some grades of rough diamonds are going up due to tight supply in the market.
Business Mayor
23-05-2025
- Business
- Business Mayor
De Beers pushes for zero-tariff entry of cut and polished Indian diamonds into US
Representational image De Beers Group is working with the Indian government to create a zero-tariff policy for diamonds entering the United States after being cut and polished in India. The group has already met with commerce and industry minister Piyush Goyal and urged him to speak with his US counterpart to enable the 'free flow of diamonds'. Al Cook, CEO of De Beers Group, told ToI that 90% of diamonds are exported from India, and it is vital for the country to finalise a deal before 9 July. 'Britain and India seem to be doing very good jobs on working with tariff deals with the US. I am very confident that India will reach a deal ahead of July 9. We have already seen a deal in the UK,' he said. Cook mentioned that apart from India and the US, most of the world allows the 'free flow of natural diamonds', as these are produced only in a few places globally, mostly in Africa. Since diamonds are mined in the US and then cut and polished in India, a zero-duty entry into the American market would not lead to any job losses, he said. 'We don't think there should be a tax on love,' the De Beers CEO said. Cook also spoke of changing trends in the diamond trade. He said that earlier, the focus used to be on diamonds 'from India' and 'by India', but now it is shifting to 'for India' and 'to India', referring to the growing demand within the country. India is now the second-largest market for natural diamonds in the world. Read More China to investigate fashion firm PVH for suspected boycott The British-born CEO said that the Indian natural diamond market is set to double to $20 billion by 2030, up from $10 billion at present. He said this growth is driven by rising aspirations among Indian buyers. According to him, India's natural diamond consumption rose by 12% year-on-year in 2024. Commenting on the growing division between natural and lab-grown diamonds (LGDs), Cook said that with LGD wholesale value falling below $60 per carat, the importance of diamond testing technology has gone up. He said that India, which has overtaken China as the world's second-largest natural diamond market, is becoming more valuable to De Beers. Cook said Indian consumers, unlike their US counterparts, are not shifting in large numbers towards LGDs. 'One can buy 20 LGDs for the price of 1 carat of natural diamond,' he told ET. He added that LGDs will continue to be 'mass-produced, low-cost, pretty and fun jewellery to wear.' He said Indian buyers prefer natural diamonds because they value uniqueness. 'Indian consumers are more sophisticated, and they like natural things. They believe in the uniqueness of natural diamonds and therefore the demand is growing,' he said. De Beers recently closed its LGD jewellery brand Lightbox, which was launched in 2018. This move reflects the group's renewed focus on natural diamonds. Meanwhile, prices of some grades of rough diamonds are going up due to tight supply in the market.
