Material Insights · Understanding the Material World

Diamonds: Extraction

Volcanic pipes from the mantle and X-ray sorting

What this tab covers How it is mined, drilled or grown, and processed into a tradeable form: the main methods compared, their unit economics, by-products, and the companies that do this work globally and in India.

Natural diamonds form deep in the mantle and reach the surface in kimberlite pipes, or are eroded into river and marine gravels, as in Namibia and Angola. USGS says most ore bodies hold from under 1 to about 6 carats per ton. Ore is crushed, and diamonds are recovered by dense-media separation and X-ray sorting. Natural industrial stones are mostly a by-product of gem mining. Synthetic diamond, made in high-pressure presses or by chemical vapour deposition, supplies over 99% of industrial diamond and a fast-growing share of gems.

Natural diamonds come from two kinds of deposits. Primary kimberlite pipes are mined in large open pits and underground mines, which supply most of the world's carats. Secondary deposits are diamonds washed out of pipes into rivers and onto beaches; these are mined by dredges and ships or dug by hand. Mined rough is then sorted and sold to cutters, most of them in India. Separately, factories grow diamond from carbon in presses or by vapour deposition. Synthetic diamond supplies more than 99% of industrial diamond and a fast-growing share of jewellery stones.

Methods compared

MethodShare of supplyTypical scaleRecovery / efficiencyBy-productsUnit cost
Kimberlite open-pit and underground miningmost of world natural output; no exact share publishedDe Beers produced 21.7 Mct in 2025 across Botswana, South Africa, Namibia and Canada; Botswana alone made 13 Mct (USGS 2025e)n/a industrial-quality diamonds (38 Mct world natural industrial output in 2025, mostly a by-product of gem mining, USGS)De Beers unit cost $86/ct in 2025, guided to about $80/ct for 2026 (Engineering News, Feb 2026)
Marine and alluvial mining, including artisanal diggingartisanal mining supplied about 40% of Africa's diamonds at the end of the 20th century (World Bank estimate cited by Tilton and Guzman 2016)Namibia 2.3 Mct in 2025 (USGS); De Beers Namibia output 0.5 Mct in Q4 2025n/a n/a n/a
Synthetic diamond: HPHT presses and chemical vapour depositionmore than 99% of industrial diamond production and consumption (USGS 2026)world output of manufactured industrial diamond over 15 billion carats in 2025; China leads, then the US (160 Mct) and Russia, about 99% togethern/a n/a US import unit value of grit and powder $0.21/ct in 2025; industrial stones $6.70/ct (USGS)
Cutting and polishing (midstream)India processes about 9 in 10 of the world's diamonds (GJEPC via Reuters, 2025)India's cut and polished exports were $13.3 billion in FY2025; in August 2022 India exported 2.2 Mct of polished at an average $851/ct (Rapaport)n/a diamond powder from sawing and polishingn/a

How each method works

Kimberlite open-pit and underground mining

Large pits are dug into vertical kimberlite pipes; when pits get too deep, mines move underground with block caving or sublevel methods. Ore is crushed and passed through dense-media separation, then X-ray sorters recover diamonds. Most of the world's large mines (Jwaneng, Orapa, Udachny, Venetia, Gahcho Kue) are of this type.

Large, long-lived and controllable; many of the largest mines are past peak and some will close soon (USGS 2026).

USGS MCS 2026; De Beers results via Engineering News (2026) and Mining Weekly (2026) Marine and alluvial mining, including artisanal digging

Diamonds eroded from pipes concentrate in river gravels and on the sea floor. Off Namibia, ships with seabed crawlers pump gravels for on-board treatment. In Angola, the DRC and Sierra Leone, much alluvial output is dug by hand and sold through local buyers.

Alluvial stones are often high value per carat; artisanal supply is hard to trace and was the source of conflict diamonds.

USGS MCS 2026; Tilton and Guzman (2016); Mining Weekly (Feb 2026) Synthetic diamond: HPHT presses and chemical vapour deposition

High-pressure high-temperature presses crystallise graphite into diamond grit or single crystals in minutes to days. Chemical vapour deposition grows diamond layer by layer from methane plasma onto seed plates, mainly for gem stones and optics.

Cheap and controllable; for gems it erodes the scarcity premium of natural stones.

USGS MCS 2026, Diamond (Industrial) and Gemstones Cutting and polishing (midstream)

Rough is planned by 3D scanning, sawn or laser-cut, bruted to shape and polished facet by facet. Small stones are cut in large Surat workshops; larger stones are often finished in Mumbai, Antwerp, Ramat Gan or New York.

Labour skill and scale give India a cost lead; margins are thin and depend on bank credit and rough prices.

Mining Weekly/Reuters (Apr 2025); Rapaport (Sep 2022) Unit economics are indicative ranges from the sources named; costs vary widely by deposit, region and year.

Who does it: global

CompanyCountryActivityVolumeYearSource
De Beers (Anglo American)UK/Botswana/South Africamining (Debswana, Namdeb, Venetia, Gahcho Kue), rough sales through sights21.66 Mct rough produced (24.71 Mct in 2024) 2025Mining Weekly (Feb 2026), De Beers Q4 2025 production report
Alrosa Company volume not published. Alrosa was the largest producer with 26.9% of equivalent production in 2013; Russia remains the largest producing country. Russiamining in Yakutianot published 2025USGS MCS 2026 (Russia 21 Mct gem plus 16 Mct industrial); Tilton and Guzman (2016)
Rio Tinto 2025 volume not found. Rio Tinto held 10.0% of world diamond output in 2012. UK/Australiamining (Diavik, Canada)not published 2025Tilton and Guzman (2016)
Endiama and Catoca partners Company volume not published. Angolakimberlite and alluvial miningnot published 2025USGS MCS 2026 (Angola 13 Mct gem output)
Element Six (De Beers Group) Volume not published. UK/Irelandsynthetic industrial diamond and CVD materialsnot published 2025USGS MCS 2026 (Ireland 5% of US grit and powder imports, 2021-24)

Who does it: India

CompanyCountryActivityVolumeYearSource
NMDC (Majhgawan mine, Panna) Volume not published in the sources used; India is not in the USGS producer table. IndiaIndia's only mechanised diamond minenot published FY2025USGS MCS 2026 lists no Indian output
Kiran Gems Private company; volume not published. Indiarough buying, cutting and polishing (Surat, Mumbai)not published FY2025
Hari Krishna Exports Private company; volume not published. Indiacutting, polishing and jewellery (Surat)not published FY2025

India mines almost no diamonds but processes about 9 in 10 of the world's stones, mainly in Surat. FY2025 cut and polished exports fell 16.8% to $13.3 billion and rough imports 24.3% to $10.8 billion (GJEPC via Reuters); ICRA expects about $12 billion in FY2026.