Diamonds are allotropes of carbon like graphite. But, the difference between them is tremendous. What makes diamonds so costly ? Well some might say that the extraordinariness, challenges in mining, toughness, cut, clearness, shading, and carat of diamonds make them costly and popular. Gold and silver are likewise uncommon, mining them is additionally troublesome however why just diamond is so costly ? Why people give diamond ring when they propose one another ?

A few years ago it was not a trend to give diamond rings while proposing. There are many stones rarer than diamonds. They are costly as a result of a company called De Beers. Each diamond you find in this world comes from this company not because diamonds are very rare to find. There are numerous diamond mines in this world however this organization don’t let those diamonds to arrive at the market.

At the point when supply of a specific item is less however demand is high, this outcomes in making that item more costly. This company made the stock of diamonds exceptionally less. But, how ? Few years back diamonds were found only in India and Brazil. But then it was also found in Africa and that too in very large quantity. De beers was also one of the company which found a lot of diamonds in Africa. But the other mines company started selling diamonds because the supply of diamonds were increasing which can make them less expensive. They were in loss. De beers would have also done that but instead it started buying those diamonds by taking loans and because of that it became the owner of all mines in Africa. It became a monopoly and a monopoly does what it wants. Soon when other mines company discovered diamonds in Serbia and other countries De beers bought all of them. It became owner of all the diamonds in the world.

Yet, De beers never let people to realize that they have diamonds in exceptionally huge amount because then people won’t buy it. They restricted the stock of diamonds which made them uncommon. They further began promoting diamonds by giving statements like “A diamond is forever”. Because of this, the interest of people towards diamonds increased and they became expensive.

RESOURCES:

2. https://francisalukkas.com/why-are-diamonds-so-expensive-5-reasons/