The rough diamond is on its way back from a depressing global recession and reports an increase in US demand of their inventory, according to Petra Diamonds, a rough diamonds supplier. 

The company, which mines diamonds in Africa, but bases its headquarters in Hamilton, Bermuda says there are expectations of a significant improvement by the end of the year and the diamond market is slowly but surely improving, especially in the US.

The output of global diamonds will be higher this year than in 2009, the company said. 

It notes its own sales which jumped 88 percent to $177.7 million through June.  It also sold more diamonds this year than it did at the same time a year earlier.

The output of global rough diamonds will be higher in 2010 than in 2010, the company reports, thanks to increased sales from Russian miner Alrosa and De Beers, but there will be a shortage in supplies within the next three to five years.

Gross sales jumped to $177.7 million through June.  Petra sold 1.13 million carats compared with 1.01 million carats last year.

There was also a growth in demand from China and India.  Some believe China will grow to equal the US diamond market within in the next 10 years. 
Sales increased due in part to the sale of a 507-carat Cullinan Heritage diamond and a recovery in gem prices.  The diamond was sold for $35.3 million in February to Chow Tai Fook, a leading Chinese jeweler.  The price set a record for rough diamonds.

By the end of June, rough diamond prices will go back to the levels they were in June/July 2008.

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