De Beers to start forward contracts on fixed price

The De Beers group of companies, foremost purveyors of rough diamonds to the world, has decided to start forward contracts on a fixed price basis for its auction sales business.

These will allow auction sales customers a guarantee on access to future supply, with certainty over the price to be paid when the contract reaches maturity. De Beers would conduct its first such contract on February 16, for grainers, smalls and near-gem categories of rough diamonds ('roughs' in trade parlance). 

Since launching forward contract sales on a floating price basis, back in December 2013, auction sales have developed a forward sales channel,