Why Are Wholesale Loose Diamonds More Affordable?

Diamonds have played their own part in history as people have always relied on them to express ideals they symbolize: beauty, love, strength and power. In these modern times they still represent these emotions and concepts but they are magnified a hundred fold as more and more people turn to diamonds to express their feelings.

As you can well imagine with the industrial revolution and the growth of the consumer market, diamonds are now accessible to a great many people and the wholesale loose diamonds business which would have seemed preposterous in the past is now quite widespread.

To begin our education into the wholesale loose diamonds business lets start with where they come from. Diamond deposits are located in Russia, Botswana, Australia and the Democratic Republic of Congo although active commercial deposits in the Northwest Territories of Canada, Siberia and Brazil are also present. After the diamonds are mined they are transported to diamond cutting centers where they are cut and polished in preparation for sale. Antwerp, Amsterdam, Johannesburg, New York, and Tel Aviv are among the more established locations for these centers. When the stones have been cut and polished they are sold on diamond exchanges. Those who wish to become involved in the wholesale of loose diamonds can then purchase from there.

When you delve into the wholesale of loose diamonds you’ll realize that many of them conduct business thru the internet. Jewelers are able to sell the diamonds at wholesale prices and still turn a profit in part because they are able to avoid the daily overhead costs. Matters such as employee salaries, rentals, security, insurance and operational costs are slashed to a minimum.

Conducting business online and lowering operating expenses is one reason but the major reason you would be saving in the wholesale of loose diamonds is most online jewelers are part of the rap net and other diamond distribution channels that share inventories from a number of diamond suppliers. These “diamond stock” a.k.a. inventories can be shared between numerous jewelers and vendors. There will now be no need for individual jewelers to come up with his own stock and a start up capital of anywhere form 50 thousand to 5 million dollars. Also his money would not have to be tied to his own stock since the Jeweler shares inventories from the rap net. He/she would then only need to mark up their price per diamond anywhere between 5% and 20% of the set price. Because of this the jeweler can continue to provide the public with wholesale prices on loose diamonds and other fine jewelry.