As global diamond sales continue to decline, Botswana and De Beers have announced a strategic marketing initiative aimed at reinvigorating consumer interest in natural diamonds. This move comes amid a significant downturn in the market, with natural diamond prices falling by 26% over the past two years and lab-grown diamonds experiencing an even sharper price drop of 74% since 2020. In response, the two entities have committed to co-investing in marketing efforts designed to protect the long-term value of natural diamonds and restore consumer confidence.
The marketing campaign will focus on category marketing and other promotional efforts, agreed upon annually, to bolster the ethical and symbolic value of natural diamonds. De Beers and the Government of Botswana will share the financial responsibility for these initiatives based on their respective shares of Debswana's diamond supply. The challenges facing the diamond industry have been underscored by De Beers' recent sales figures. In 2024, De Beers' sales of rough diamonds fell for the second time in the year, recording a provisional $315 million—down from $383 million in the previous cycle and a significant drop from $456 million at the same time in 2023. Whether this marketing initiative will be enough to counteract broader market trends remains to be seen, but it represents a clear effort to safeguard an industry that has long been a cornerstone of Botswana's economy and De Beers’ global operations.