What’s A Diamond Really Worth?: The physical, psychological and financial factors that make up the value of the North’s key stone – by Herb Mathisen (Up Here Magazine – November 17, 2017)


Diamonds might be forever. Diamonds may also be a girl’s best friend. But one thing’s for sure—figuring out the value of a diamond isn’t easy. The stones that come out of the ground bear little resemblance to the diamonds that sparkle on rings or pendants.

A diamond will travel across the globe for cutting and polishing—to places as far flung as Belgium and Botswana then India and back—and before it winds up on your finger, it will be sold multiple times, at prices that vary according to market demand at each stage.

Since the private sector economy of the Northwest Territories hinges on the export of rough diamonds, we figured we’d try to bring some clarity to this complex and opaque industry.

The price of commodities generally depends on demand. Bulk metals like copper and iron ore are largely tied to growth in the developing world, as they are the raw construction materials needed to build houses and highways and other infrastructure.

Emerging battery or green-energy technologies can create demand for materials like cobalt, lithium and other rare earth elements. And a growing economy means consumers will have more disposable income to spend on pretty much whatever they want.

For the rest of this article: https://uphere.ca/articles/whats-diamond-really-worth