By: Mining focus Africa

Pretoria, South Africa — In a strategic move to defend its diamond industry from the growing popularity of synthetic gems, South Africa’s cabinet has approved participation in a global initiative to promote natural diamonds. The campaign, led by the Natural Diamond Council, will be funded by a 1% levy on annual revenues from rough diamond sales.

The decision comes amid mounting pressure on traditional diamond producers, as lab-grown alternatives gain traction among younger, eco-conscious consumers. With their lower environmental footprint and competitive pricing, synthetic diamonds have disrupted global markets, contributing to a 21% drop in South Africa’s diamond sales in 2024. 

A United Front for Real Diamonds

South Africa joins a coalition of African diamond-producing nations—including Botswana, Namibia, and Sierra Leone—alongside industry giants like De Beers, in a coordinated effort to revive global demand for natural diamonds. The accord, signed in June, commits signatories to channel 1% of their rough diamond revenues into a shared marketing fund.

Minister in the Presidency Khumbudzo Ntshavheni confirmed the cabinet’s endorsement of the initiative, stating: “This contribution will support the global marketing of South Africa’s real diamonds, enabling economic growth and job creation.

Industry Under Pressure

South Africa, the world’s sixth-largest diamond producer by volume, saw its output dip to 5.8 million carats in 2024—a 0.9% decline from the previous year. The total value of diamond sales fell to R13 billion ($731 million), reflecting the sector’s vulnerability to shifting consumer preferences and macroeconomic volatility.

Mineral Resources Minister Gwede Mantashe voiced concern at a recent industry meeting: “Lab-grown diamonds are eating into our dinner. I’m convinced that marketing natural diamonds is a necessary intervention.”

A New Chapter for African Diamond Diplomacy

South Africa’s entry into the accord signals a broader shift toward regional cooperation in mineral marketing. The move is expected to strengthen the continent’s position in the global diamond trade, while also safeguarding jobs and stimulating investment in mining communities.

As synthetic gems continue to reshape consumer behavior, African producers are betting on storytelling, provenance, and sustainability to restore the allure of natural diamonds.