Polish up on diamonds

Think diamonds and you think De Beers. For over a century, the South African company’s dominance of the international diamond industry has been wide and deep. But can it overcome the growing dissidence among the ranks of producer nations and international diamantaires that make up this powerful cartel?

The diamond is – chemically- pure carbon. Yet the magic and mystique it is imbued with has made De Beers, the world’s leading diamond supplier, a veritable goldmine with a net income in 2006 of $730 million on revenues of $6.15 billion. The company’s hegemony of the diamond industry has been unrivalled for over a century. Employing more than 21,000 people in 25 countries across five continents, De Beers has established itself over the decades as the leader in the exploration, mining and marketing of rough diamonds. De Beers is a privately held company with three major shareholders Anglo American Plc with a 45 percent stake, the Government of Botswana (15 percent) and the Central Holdings Group that owns the remaining 40 percent of the company.

Issue July-Aug 2007

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