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Archive for August 13th, 2006

Price of Wholesale Diamonds

Sunday, August 13th, 2006

price of wholesale diamondsWhat is the price of wholesale diamonds? Diamonds generally pass from the miner to a distributor who then passes them to wholesalers. Some of the biggest groups of wholesalers are in Antwerp and in Israel. There are also wholesalers in Russian and the US and many other countries.

Basically how is the price for a diamond determined? For many people the system used to determine the price of any particular diamond is a bit of a mystery.

The Rapaport Diamond Report is the international standard trade price list for polished diamonds used to determine diamond prices in all of the industry’s arenas, including cutting centers, wholesale diamond dealer markets and retail outfits.. It lists prices that are ‘traded off’ (usually at discounts) based on their shape, size range, color and clarity. It is a pricing matrix or a diamond rap sheet which is used as the starting point for negotiations of most diamond transactions and is regularly updated.

Most dealers purchase diamonds at a minimum of 19 percent “back” or in other words, 10 percent less than the Rapaport Diamond rap sheet stated value for that type and class of diamond. However with the advent of the Internet more diamond traders are able to sell direct to the public and it is usually now to find dealers selling diamonds to the public for anywhere from 10 to 20 percent or even more.

You do need to be very careful in this arena as the clarity and color of a diamond can make a tremendous difference to the price and if you do not know the true value of a diamond you are buying you can end up paying thousands of dollars for an inferior diamond worth just a few hundred dollars.

This is where it is vital that a proper appraisal for a diamond is done by a gemological laboratory so you can find out what the true qualities of a particular diamond is.

There is nothing like doing some due diligence to save you money even when you are buying wholesale diamonds.

The price of wholesale diamonds can be very good provided you take proper care and attention with whom you are dealing with.

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