Output target lowered again

DE BEERS, the world’s largest diamond producer, lowered its 2015 output target for the second time this year as demand for the gems continues to weaken. De Beers cut its full-year goal to between 29 million and 31 million carats from an earlier target of between 30 million and 32 million carats. At the start of the year, the Anglo American unit was planning to mine as much as 34 million carats. “We think it is adequate,” said De Beers chief executive Philippe Mellier, commenting on the new target. He told investors on Friday that he expected the market to be “stable” in dollar terms compared with last year. De Beers and other diamond producers are under pressure to cut supply and lower prices as traders, cutters and polishers struggle to turn a profit amid a squeeze on credit and as jewellery sales languish. Buyers in India, where almost 90 percent of stones are cut and polished, threatened to ban imports this month amid complaints about a supply glut. “It’s been a tough couple of months,” Anglo chief executive Mark Cutifani told investors. – Bloomberg