**Abstract**
The international diamond market in October appears to be relatively stagnant. The persistent issue of lab-grown diamonds being deliberately sold as natural ones continues to create uncertainty in the "Diamonds Forever" industry, which is often described as a long-standing myth. These incidents have caused small but significant waves of concern across the sector.
According to gemologist Martin Rapaport, there's currently a price gap of nearly 20% or more between natural and synthetic diamonds. With advanced production techniques, it has become increasingly difficult for buyers to tell the difference between the two. This lack of transparency in the supply chain has led to confusion in the market, with synthetic diamonds often being sold at high prices under false pretenses.
To address this, De Beers, one of the world’s largest diamond mining companies, has introduced a new synthetic diamond identification tool that will soon be widely available. Meanwhile, the New York Jewelry Institute has already implemented a "batch" identification system, utilizing technologies such as Raman spectroscopy, infrared-visible absorption detection, infrared spectroscopy, and photoluminescence to verify diamond authenticity in the market. These tools are now being used to help buyers distinguish between natural and synthetic stones.
For diamond sellers, major suppliers are stepping up their oversight of the supply chain, aiming to create more transparent and open channels for diamond distribution. Companies that fail to maintain ethical standards or violate industry rules may face public condemnation and even legal action. Retailers will no longer be able to hide behind vague "regulations" regarding the origin of diamond products, as these are expected to be completely eliminated soon.
In addition, the U.S. Federal Trade Commission (FTC) has mandated that all lab-grown diamonds must be clearly labeled with their composition. This move aims to increase consumer awareness and prevent misleading sales practices.
Martin Rapaport believes that these FTC measures could lead to a competitive shift between natural and synthetic diamonds, potentially causing a significant price drop in the natural diamond market. As synthetic diamond technology improves, the cost of lab-grown stones is likely to fall further. However, he warns that the financial impact might not be the worst outcome.
"If mining companies and sellers knowingly sell synthetic diamonds as natural ones without being able to distinguish them, they are not worthy of profits in the market," he said. "This industry needs strong ethics and clear regulations to ensure trust and sustainability."
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