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LOOKING AHEAD
SALES CHANNELS WILL CONTINUE TO EVOLVE
In rough diamond sales, there are significant benefits
to being a scale producer and supplier. The various
mines offer quite different production profiles, and
production fluctuates in the quantity, size and quality
of diamonds. This means that a company’s ability to
offer a consistent supply of gems is strengthened by
operating several mines.
This kind of offering attracts the best diamantaires and
also allows for a steadier cash flow for the company.
Rough diamond sales channels will continue to
evolve as producers strive to maximise value creation
for their production. De Beers is in the process of
redesigning its distribution system.
The company remains committed to its model of term
contract sales to Sightholders, to which the company
will continue to allocate the majority of its supply.
However, in May 2015, it will introduce a new category
of rough diamond customer: the Accredited Buyer.
An Accredited Buyer will not be supplied by way of a
term contract, but will be eligible to purchase rough
diamonds not already committed for sale by way of
term contracts. Over time, Accredited Buyers that
demonstrate sufficient demand for De Beers’ goods
will be eligible to apply for Sightholder status.