Alrosa: 80% of Our Rough Will be Sold in Moscow
June 19, 07With its sales contract to De Beers all but over, Russian diamond mining monopoly Alrosa plans to sell 80 percent of its rough diamonds in Moscow under long-term contracts.
According to Alrosa president, Sergey Vorobyov quoted in RIA Novosti, De Beers could purchase rough diamonds from Alrosa in Moscow, because the city is not subject to European legislation.
Market insiders say the European Commission’s ruling on trade between the two companies is most probably not limited to European jurisdiction.
If Alrosa, the world's second-largest rough diamond supplier after De Beers, moves forward with the plan, only 20 percent of its goods will be made offered at their international sales offices, such as in Israel, Belgium and New York.
It does, however, have a number of big local clients, including DTC Sightholder Kristall and Lev Leviev’s Ruiz Diamonds.
Vorobyov did not say when Alrosa will start selling under the new scheme, but he did tell the newspaper that it will reduce the number of its clients. “[We will keep] only the big ones, whose policy is understandable and who will really support the market,” he said.