De Beers and Alrosa’s market share is increasing – an analysis

In a recent analysis titled “De Beers and ALROSA Market Share 2021” on Edahn Golan Diamond Research & Data, diamond analyst Edahn Golan analyzes the performance of the diamond industry’s two major diamond producers – De Beers and Alrosa.

Golan begins by comparing the top producers’ performance today to their performance in 2019. Both De Beers and Alrosa, he says, have posted a double-digit rise in market share, as did, in fact, all leading diamond producers except for Rio Tinto, which closed its massive Argyle mine in December 2020.

Compared to 2019, De Beers’ diamond market share rose 17% by value and nearly 25% by volume. Alrosa’s 2021 market share rose 18% by value and a staggering 36% by volume.

According to Golan’s analysis, resting on figures provided by the Kimberley Process, global diamond production was 120 million carats, worth $140 billion. With $4.83 billion in rough diamond sales, De Beers’ 2021 market share by value was 34.5%. By volume, the miner held a 27.8% global market share. Alrosa’s 2021 market share was 28.4% of value ($3.98 billion) and 37.9% by volume (45.5 million carats).

De Beers is the top producer by value, While Alrosa is the top producer by volume, “and jointly were the source of about two-thirds of global diamond supply.”

Golan goes on to discuss other lesser but still significant suppliers – Rio Tinto, Catoca, Petra, and Gem Diamonds – which, together with De Beers and Alrosa, account for more than 76% of global diamond production.

Golan finds it “interesting […] that, while collectively these companies mined 20% less in 2021 compared to 2019, their collective market share rose 9.4%.” The reason, he says, is simple: “In 2019, the largest miners lost market share to a small group of junior miners and the multitude of alluvial miners.”

Read the full analysis here.

(Article from Israeli Diamond)