Alrosa, a major global diamond producer, has announced a 4.6% decrease in its 2024 diamond output, totalling 33 million carats, according to Reuters. This follows a 2.8% production cut in 2023 to 34.6 million carats.
The Russian government of the Yakutia region, where a significant portion of Alrosa’s operations are based, revealed this information to the news agency. The company has been grappling with a challenging global diamond market and the impact of international sanctions. To mitigate these challenges, Alrosa has outlined plans to adjust its production and workforce in 2025.
Despite the adverse market conditions, the Yakutia government expects Alrosa to increase its tax contributions to the regional budget next year, Reuters reported. This suggests that the company is taking steps to navigate the crisis and maintain its operations.