Uncertain future for global diamond trade as profits vanish

Manufacturers who cut and polish diamonds have found themselves caught between giant mining companies charging high prices for rough stones, and big retail chains that demand gems at low margins to keep sales moving. While the $80 billion overall spent on diamond jewelry last year was a record, the manufacturers are expected to share a profit of just $100 million in 2015. "The rule of supply and demand doesn't necessarily apply to the diamond sector," said Yoram Dvash, a high-end polisher in Israel who outsources his rough stones to smaller Israeli polishers.

Uncertain future for global diamond trade as profits vanish source: http://finance.yahoo.com/news/uncertain-future-global-diamond-trade-143514390.html