August 18, 2020 – ALROSA confirms its commitment to the responsible sales policy and continues providing the unprecedented flexibility to its long-term customers to speed-up the market’s return to supply demand balance.
Though the market started to gradually recover and diamond trade started to revive recently, ALROSA continues to execute a balanced sales strategy to support the market on its recovery way.
ALROSA keeps a zero buyout requirement for its August trading session, the same approach was used in the July trading session, thus avoiding putting additional pressure on the market. Understanding the sectoral structure of demand in this challenging period, the company provides its clients with an opportunity to purchase only the goods they need. Sales under long-term agreements traditionally cover about 70% of ALROSA’s overall sales.
“We were excited to see the green shoots in the market as it turned to recovery mode over the recent months. The global diamond trade started recovering though still below last year numbers, while mid-stream resumed operations at the reduced capacity. After being frozen for several months, diamond business started getting back to motion. However, it is obvious that the industry has not yet returned to the relatively stable state we enjoyed at the beginning of 2020. We should admit that we are at the very beginning of the market recovery, which is still tamed by a number of external factors including travel restrictions, and we, to make this positive changes stick, decided to keep unprecedentedly flexible sales conditions for our customers in August,” commented Evgeny Agureev, Deputy CEO of ALROSA.
During August trading session, clients may review goods either remotely, getting detailed specifications and a videoconference with an expert, or by visiting ALROSA’s office with all COVID-preventive measures in place.