Diamonds.net, NY
Oct 14 2007

Armenia’s Diamond Exports Down 50% in First Nine Months of 2007

By Avi Krawitz Posted: 10/14/07 06:33 [Submit Comment]

RAPAPORT… Armenia’s exports of polished diamonds fell 50.4 percent
to AMD 31.45 billion (approximately $94.51 million) in the first nine
months of 2007, compared to the same period a year earlier, Interfax
reported.

According to figures from the Armenian Trade ministry’s precious
stones and jewelry department, the country’s output of polished
diamonds declined 49.2 percent to AMD 32.97 billion ($99.08 million)
from January through September 2007.

Total sales (local sales plus exports) dropped 51.1 percent to AMD
31.84 billion ($95.68 million.)

Gagik Mkrtchian, head of the ministry’s precious stones and jewelry
department, told Interfax the slump in the diamond cutting sector was
expected to turn around towards the end of 2007 and achieve growth in
2008.

Mkrtchian explained that a joint venture between Armenian cutting
companies and Russian diamond miner, ALROSA, was scheduled to take
effect in 2008, which would help revive Armenia’s diamond sector.

The slump in production and exports has resulted in significant job
cuts in the cutting and polishing industry in Armenia.

Mkrtchian also said in the report he hoped Lev Leviev’s Shogakn, the
country’s largest cutting company, would be able to resolve its
problems after the company announced in July that it may close due to
inefficiencies.