Namibia, a significant player in Africa’s diamond industry, ranks among the continent’s top five exporters of these precious gems, trailing closely behind Angola, Botswana, and South Africa. In 2022, Namibia achieved diamond exports valued at over $940 million.
The global demand for natural diamonds has rebounded strongly following a downturn during the COVID-19 pandemic. Debmarine, Namibia’s leading marine diamond company, reported an impressive 83% increase in sales in 2022 compared to the previous year.
However, CEO Willy Mertens expressed concern over the rising competition posed by synthetic diamonds, which could potentially impact employment opportunities for many Namibians. While trained jewelers can distinguish between lab-grown and natural diamonds, distinguishing them visually remains challenging.
In 2022, sales of lab-grown diamond jewelry surpassed 10% of the global jewelry market for the first time, according to Modern Mining publication. The publication predicts that sales of artificial diamonds will continue to grow annually at a double-digit rate in the coming years.
Namibia, where diamond extraction yielded 2.1 million carats in 2022, is launching a campaign to promote natural diamonds as environmentally sustainable and offering superior value for money.
“We’ve observed synthetic diamonds, or lab-grown diamonds, increasingly penetrating the natural diamond market in recent years,” remarked Mertens. “Initially marketed as real diamonds, we’ve undertaken extensive efforts to differentiate between them.”
One of the challenges in marketing Namibian natural diamonds is their environmental impact on the landscape. Debmarine invests a significant portion of its profits into environmental rehabilitation, particularly in restoring landscapes and seabeds damaged by mining activities.
Mertens explained, “Seabed restoration occurs naturally through wave action. We monitor this process closely, mining specific areas while leaving adjacent ones untouched. Over time, we’ve observed significant recovery, with up to 70% of organisms returning within three to ten years.”
Recently, Mertens met with Namibian President Nangolo Mbumba to introduce Hollywood actor Lupita Nyong’o as De Beers’ global ambassador for natural diamonds and discuss challenges facing Namibia’s diamond industry.
President Mbumba voiced concerns over a proposed change in the Kimberley Process, which aims to certify all diamonds in Antwerp, Belgium, to prevent Russian diamonds from entering international markets. He argued that this decision would adversely affect African diamond producers like Namibia, Angola, and Botswana by increasing costs and limiting trade freedom.
“In collaboration with Angola and Botswana, we’ve appealed to the G7 countries to reconsider their plans,” Mbumba stated.
