Natural Diamond Industry at 'Defining Moment,' says DMCC Chairman
October 27, 26
(IDEX Online) - The natural diamond industry is at a "defining moment", according to DMCC executive chairman Ahmed Bin Sulayem.
He called for coordinated action to restore consumer confidence, create new sources of value and address pressures extending well beyond supply and demand, at the Dubai Diamond Conference, which concludes today (October 27).
"The natural diamond industry is at a defining moment, and the pressures it faces go well beyond supply and demand," he said in an official statement.
"Reigniting consumer desire, restoring confidence, and unlocking new value will take decisive, coordinated action from mine to retailer, and that includes how the trade is financed."
The defining moment comes as the industry faces a combination of falling mine production, weak prices and growing competition from lab grown diamonds. Producers are losing output as established mines reach the end of their economic lives, while the industry struggles to persuade consumers that natural stones justify their premium over laboratory-grown alternatives.
Global rough diamond output fell 8% in 2025 to 98.8m carats, from 107.9m carats in 2024, according to Kimberley Process figures. Output was about one-third below its 2017 level.
Yet declining supply has not translated into a broad recovery in prices. De Beers reported that its average realized rough diamond price fell 32% in the first half of 2026 to $105 per carat, reflecting continuing market pressures and competition from lab grown diamonds.
Bin Sulayem said the industry should learn from Swiss watchmakers, who responded to the quartz revolution by emphasizing craftsmanship, heritage and exclusivity rather than competing on price.
"You can't have both," Bin Sulayem said, according to a Gulf News report, referring to the ambition to make diamonds commonplace while maintaining premium pricing.
DMCC launched The Swiss Parallel, a report prepared with Originalluxury, examining how the Swiss watch industry rebuilt consumer appeal and long-term value.
Its recommendations for natural diamonds include stronger differentiation, authentication and new investment opportunities.
The conference also explored tokenization and fractional ownership as potential ways to develop natural diamonds as an investment category.
Separately, DMCC announced an education partnership with HRD Antwerp.
Picture courtesy DMCC, shows Ahmed Bin Sulayem called for coordinated action to restore consumer confidence and long-term value in natural diamonds.