The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1915-03-27
DIAMONDITRADE
MINES CLOSED AND CUTTING
AND POLISHING OPERATIONS
SUSPENDED.

National Geographic Society: War
has worked a greater disturbance in
the production of diamonds han al
most of any other commodity. Not
only has the cutting of these gems al
most ceased, but the largest diamond
mines in the world have been shut
down since last August. More than
80 per cent OF the annual diamond
output comes from South Africa,
from mines within the wal area
whose operation has been suspended.
II Is feared in Belgium that the Ant
werp diamond cutting industry has
been ruined past repair; the Rue de
Pelican has been deserted. In Am
sterdam, the other great diamond
cutting ana polishing center, work
has almost completely halted. The
work rooms of London and Paris are
reported to be as quiet as those OF
the Dutch.
Diamond production is of consid-
cradle geographical localization. The
stones were produced through the
centuries In India and many are
still mined there, though few of this
output leaves the country. Likewise.
the diamond production of South
America is Of little Importance in
connection with the worlds supply.
South Africa is the great diamond
source and the greatest part of It's
product Is purchased by the diamond
syndicate, with headquarters in Lon
don, which takes the entire product
of the De Beers Consolidated Mines,
Ltd. This syndicate. through its
centralized control of the diamond
industry, has been able to fix the
worlds price for these rare gems.
The machinery by which the nice
balance between supply and demand
necessary to the maintaining of dia-
nionds in superior relationship TO
other commodities of life was devils
ed by Cecil Rhodes. Many millions
of dollars worth OF these stones were
taken each year at the mines near
Kimberly, the Premier mine in the
Transvaal, and the mines of German
Southwest Africa. 1t Is estimated
that the total diamond production of
the mines of South Africa has reach
ed the enormous sur of $750,000,-
900. In a single year. 1913. the com
bined outputs of the De Beers and
the Premier mines amounted in value
to $4,000 600. while German South
west Africa produced, during the
same year, diamonds valued at $10,-
$1,000. The United States takes
the largest percentage of these gems.
Some OF the wealthiest houses in
Europe are included among the man
ayers OF the diamond syndicate. A
great amount of capital has been tied
up in the quantities of stones held
back from the market by the syndi-
cate in order that prices might be
maintained. There is, therefore. lit
tie cause for fearing that those who
have the money and the desire to
buy need feel the effects of a dia-
mond famine. The diamond surplus
from the years of peace will likely
cover any demands which may be
made during the wartime. The de-
mand for diamonds in this country,
according to reports, is remaining
good despite the war, being about SIS
per cent of normal.
Diamond production has been the
backbone almost of South African
development. 1t has increased In inn
p%ortance from year to year. the out
puts being limited practically only to
the amount of capital which the
European houses dealing in these
precious crystals could afford to tie
up in their purchase. In 1913 the
mines of German Southwest Africa
produce about 100000 carats. and
an Antwerp syndicate which was
formed for the taking of the whole
OF this production failed. Just be.
fore the war a conference of all the
leading diamond interests was called
In London. the object of which was
the adoption Of plans for a better
control Of the ever swelling South
African diamond output.