De Beers targets 80% recovery post-recession

De Beers, known for its diamonds had to cut its rough diamond

output by 50 per cent during the recessionary phase, especially when it’s largest consumer US, went into recession. By the end of 2010, the company recorded a production of 35 million carats of diamonds, which is 40 per cent of the world production. Now it wants to recover 80 per cent of what it produced before global slowdown affected business. The company also has spent Rs 150 crores on the kimberlite exploration activities in India. Though production was slow in the first half of 2011, De Beers is still looking towards a five per cent increase in the second half. This will take them to 80 per cent of their peak level production.

Its third mine at Gahcho Kue in Canada would also begin production this year. Meanwhile, De Beers is also exploring diamond deposits in India, Angola and some parts of Botswana. In India, the explorations are happening in Madhya Pradesh and Andhra Pradesh.

With India and China recording 20 per cent of the global demand for diamonds, the $6 billion company is aggressively marketing its Forevermark brand of diamonds in India. Expecting the brand to value over $300 million by the year end, it plans to partner with 34 retailers in six cities by the end of this year.

De Beers, established in 1888, is the world’s leading rough diamond company with unrivalled expertise in the exploration, mining and marketing of diamonds. Together with its joint venture partners, De Beers operates in more than 20 countries across six continents employing more than 16,000 people.