Despite the world’s economic recession, Toronto is showing its confidence in Canada’s burgeoning diamond industry by beginning the latest legislative session with a diamond-studded mace.  At Victor mine, near Attawapiskat in Northern Ontario, DeBeers expects that over 600,000 carats of diamonds will be extracted during the mine’s estimated 12-year production.  Although there were recent layoffs at DeBeers’ first Canadian mine at Snap Lake, the Victor mine produces a higher-quality diamond, and, therefore, has continuing demand.

The Victor mine has been running at full capacity, and DeBeers is living up to its commitments regarding job opportunities for local residents.  The mine employs 400 people, and, according to Rick Meyers, Vice President of Diamond Affairs for the Mining Association of Canada, “has fairly high-quality diamonds, much higher than some of the ones we see up here, so there’s perhaps significantly higher demand for those diamonds.”  He added that “People are still getting engaged and buying diamond rings, so I think the industry is going to survive”.  DeBeers and Ontario also worked out a deal in which at least 10% of the rough diamonds from the Victor mine will be processed there, which creates an additional $25 million in post-mining work like cutting and polishing. 

Most mines, including those in Africa, are experiencing financial difficulties because of a lower demand across the board for diamonds.  People are not buying diamond jewelry as they have in the past, because they have less disposable income.  It is higher-quality diamonds that can survive this, as consumers are looking very specifically at particular diamonds, instead of looking at a piece that contains perhaps hundreds of them.  Also, because of the concern regarding conflict diamonds—and the exact definition of them—many buyers are looking for diamonds in not only conflict-free, but also slave-labor-free areas.  This gives the Canadian mines an advantage.

The legislature took a short break to receive the mace, which is carried in by the sergeant-at-arms and placed on a table facing the government while the house is in session.  The mace itself has two diamonds on it, and a third is being exhibited in the first-floor hallway of the legislature. 

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