ARMENIA DIAMOND, GOLD PRODUCTION -27%
By Jeanette Goldman

Diamonds.net, NY
May 16 2006

(Rapaport…May 16, 2006) Armenia’s cut diamond and gold production
dropped 27 percent in the first four months of 2006, reported Armenia
Diaspora on May 15. Twelve companies that are monitored by the trade
and industry development ministry produced $64.6 million worth of
goods, 75 percent of which was manufactured by diamond manufacturing
companies. Armenia’s sale and exports during the four month period
dropped 24 percent compared with 2005.

The ministry blamed the drop on the global markets, saying that higher
oil and gold prices, coupled with depreciation of United States dollar
value have significantly cut demand for luxury items.

The ministry also blamed lack of effective management, lack of
financial resources and less rough diamond imports from Russia for
the decline.