According to exports data released recently by the Bank of Botswana (BoB), the value of rough diamonds exports witnessed a 20 percent plunge last year, to P22.5 billion, from the 2011 export figures of P28 billion.

As per the BoB figures, the value of rough diamond exports in Pula terms during December stood at P1.3 billion, as against the November figures of P1.5 billion. Diamond exports, which conventionally have been the chief contributors to foreign currency, were impacted by a 12 percent fall in prices in 2012; with the Debswana production also witnessing a drop by the same margin last year.

Accounting for the vast bulk of its output, Debswana produced 20.2 million carats; a figure which was nearly 2.7 million carats lower in comparison with the previous year, chiefly due to the Jwaneng Mine slope failure.

However, despite the fact that the BoB figures showed a fall in the value of rough diamonds exports, the 2012 exports figure still remained higher than the P18.8 billion export value of rough diamonds in 2010, and P13.7 billion in the recession year, 2009.

About the reasons behind the plunge in the value of rough diamond exports, diamond company De Beers - which saw a 16 percent year-on-year drop in full year group sales - said that the decline was largely an upshot of a fall in demand, changing product requirements from Sightholders, as well as reduced availability of some goods.