In a wide-ranging interview, the new president of the London Diamond Bourse, LDB David Troostwyk, shared his views on everything from lab-grown diamonds (LGDs) and the impact of G7 sanctions on the industry, to the bourse’s leadership’s ambition to make it the UK’s diamond hub at a time of global turmoil for the diamond industry.

In an interview with Jewellery Outlook, Troostwyk spoke about the challenges facing the global diamond industry. On LGDs, Troostwyk said that while they have undoubtedly taken some market share from the natural diamond market, particularly in the engagement ring segment, he believes the stones are “finding their place”.

Through the use of strong marketing campaigns, jewellers have been happy to sell LGDs due to the competitive market and high margins. It has worked, especially when consumers think they are getting a good deal. He believes the LGD market is now at its peak of profitability.

He praised the work of the Natural Diamond Council, NDC and the legislation regarding the marketing of LGDs. The NDC recently lodged a complaint with the Advertising Standards Agency, ASA, against SkyDiamond for using misleading terminology to market its LGD products.

The ASA ruling was agreed with the NDC and ordered SkyDiamond to provide clearer marketing and “not to use the term ‘real diamonds’ to describe synthetic diamonds.”

Troostwyk believes that LGD manufacturers will focus on website fashion jewellery and/or costume jewellery.

However, he believes that LGDs will not reduce demand for natural diamonds. He believes that LGDs demonstrate the strength and appeal of natural diamonds, thereby creating greater demand for them.

In terms of marketing natural diamonds, he believes that diamond manufacturers, wholesalers, retailers and individual jewellers should work together and share knowledge and expertise to ensure that positive information about natural diamonds is spread.

This is important, he notes, because the public has outdated information about diamonds, and this knowledge needs to be updated.

“We all have a responsibility to support each other in this – to be on the same page. Increasing the market share of natural diamonds means more business for everyone in the long run,” notes Troostwyk.