NPR Planet Money buys a mystery diamond

[freddyboston]

NPR's Planet Money buys a one-carat, colorless, ideal-cut diamond From Alibaba $137..... is this the future / where prices are going ?

GUO: I know. Apparently, this is like an open secret in the industry. Literally. Nobody that I talked to was surprised at all that I'd somehow managed to buy this diamond for $137. Apparently, it was not even that good of a deal.

GONZALEZ: OK, but there is this, like, disconnect for me because Paul is saying that the wholesale price for a lab-grown diamond like this one is $100-ish dollars. But if you walk into, like, any diamond store right now, this exact kind of diamond is not going to cost you $100. At a store it'll cost you like $1,000.

GUO: Yeah, exactly. That is the biggest mystery in the diamond market right now.

GONZALEZ: The markup.

GUO: Yes.

https://www.npr.org/transcripts/1240892101

 

[DejaWiz]

Sellers based in countries including China and India have been selling ungraded junk for quite some time, especially since the pandemic took a heavy toll in 2020-2021.
As @Karl_K put it best: fish tank gravel quality, based on this right here:



Poor QC and poor power infrastructure equals poor grown diamond material.
Doesn't matter how well cut and polished it is, the material quality is still the foundation of that diamond, in my opinion.

 

[glitterata]

Sellers based in countries including China and India have been selling ungraded junk for quite some time, especially since the pandemic took a heavy toll in 2020-2021.
As @Karl_K put it best: fish tank gravel quality, based on this right here:



Poor QC and poor power infrastructure equals poor grown diamond material.
Doesn't matter how well cut and polished it is, the material quality is still the foundation of that diamond, in my opinion.

I don't know, DejaWiz. The NPR reporters are both very impressed by the diamond, which they're looking at in person. It looks like a beautiful, sparkly diamond to them, not like fish-tank gravel. Sure, the GIA scientist can detect a growth line using her advanced instruments, but the reporters say it's not visible to their eyes. The diamond may not be up to your standards, which are the very highest of high standards, but it's clearly not "junk" either.

 

[freddyboston]

I agree, it seems most labs are actually very well cut w/ ideal proportions... the biggest issues seem to be either Blue Nuance in HPHT's or Growth Stria in CVD's which are not even called out in the Lab Reports. And eventually if they get to a low enough price as long as they look nice will people really care and be so discerning ?

 

[DejaWiz]

glitterata and freddyboston : you're probably right since the lab grown industry seems to be a race to the bottom: grow them quick, cut and polish them quick, sell them quick.
Unfortunately, most people don't have a proper frame of reference when it comes to great diamonds, which means that these uncaring and unscrupulous growers and cutters ultimately win instead of the buying customer.
I would NEVER recommend anyone buy an ungraded natural/earth grown diamond (especially one that was treated or full of graining), so my approach will always be the exact same with lab/human grown diamonds...keep the standards the exact same and it's we consumers that win.