RapNet, the diamond trading network, has banned Russian diamonds from its platform amid the country’s ongoing attack on Ukraine.
According to Rapaport, the ban applies to all diamonds sourced from Russia after 24 February 2022, and it includes polished diamonds manufactured outside of Russia from Russian rough diamonds.
All in all, RapNet has daily listings of 1.8 million diamonds valued at $8.7bn (£7.04bn). Its ban also includes diamonds sourced from companies that are 50% or more owned by sanctioned entities.
Overall, Russia supplies about 30% of the world’s rough diamonds.
Rapaport said the recent US sanctions on Alrosa are forcing the global diamond industry to legitimise the diamond supply chain, and suppliers are under increasing pressure to identify the source of their diamonds.
Martin Rapaport, chairman of the Rapaport Group, said: “Sanctions on Russia are fundamentally changing the diamond supply chain. Buyers want assurances as to the source of their diamonds.
“Ethical considerations are transcending legal requirements as buyers reject Russian source diamonds cut outside of Russia. Financial sanctions have stopped imports of rough diamonds to the cutting centres and natural diamond shortages are likely before the holiday season.”