Diamond Market Crisis Hits Mbuji-Mayi – Prices Plummet
The diamond market is experiencing a dramatic downturn In Mbuji-Mayi, the capital of the Kasai-Oriental province. Recently, the price of a carat of diamond has dropped from $2 to less than $1.
This significant price fluctuation in the Democratic Republic of Congo’s diamond capital is driven by the forces of supply and demand.
“Prices rise with demand and the quality of the merchandise,” noted Dieudonné Kalala, president of the provincial diamond council, as reported by UN radio in the DRC. He explained that international market demands directly impact local buyers in the provinces.
The decline in prices has paralyzed artisanal mining operations in the first half of 2024. The diamond market has slowed significantly over the past five months, a situation lamented by key industry players.
“The diamond market is collapsing. We are struggling to sell our diamond parcels. There are no buyers, no money. We’re at a standstill. Previously, Lebanese traders bought a lot, but they are no longer here,” said Taylor Mbuyi, a local trader.
Over the past decade, from 2013 to 2023, the DRC has seen a historic decline in diamond exports, according to the Ministry of Mines and the Technical Cell for Coordination and Mining Planning (CTCPM).
In 2023, the country produced 8,305,796.60 carats, nearly half of the 17,924,982.26 carats produced in 2017, marking the lowest level recorded since 2019.
The ongoing crisis underscores the urgent need for market stabilization and support for the local diamond industry to recover from this unprecedented downturn.
