Mmegi

Will the synthetics hype die off?

Real deal: Masisi has taken a stand to be the global champion of natural diamonds PIC MORERI SEJAKGOMO
Real deal: Masisi has taken a stand to be the global champion of natural diamonds PIC MORERI SEJAKGOMO

Synthetics have been the Grinch to natural diamonds, spoiling the rarity of rough diamonds and adding to a difficult sales period for naturals. Countries like Botswana whose economy is built on the De Beers story of the rarity of diamonds, are wishing synthetics away, predicting their doom and collapse, but the market will have the final say. Mmegi Staffer TIMOTHY LEWANIKA reports

During the recently ended Future of Mining summit, one common thread ran across the speeches of executives: the fear of synthetics. If synthetics aren’t all that, then why is everyone talking about them?

Speaking economically, diamonds economically are part of a segment of goods called Veblen. Their prices positively increase with their demand and companies like De Beers have thrived and excelled due to the ability to convince the market that there is such a limited number of diamonds in the world that each one is worth tussling for, sold to the highest bidder.

Editor's Comment
Don't let FMD outbreak drag on

Acting Agriculture Minister, Edwin Dikoloti, is right in saying opening an export-ready facility whilst Foot and Mouth Disease (FMD) is still spreading would risk getting the whole country blacklisted before a single carcass leaves the door.A ban like that would break the already stressed nation. So, the postponement, painful as it is, is the right thing to do. The local economy is being squeezed from both ends. FMD has already slammed the door...

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