Moscow: ALROSA is considering the option of attracting renowned jewelry producers as strategic partners for its cutting and polishing facilities, the company reported. The announcement followed an executive committee meeting which looked at prospects for the development of its cutting and polishing business.
The company did not specify which strategic partners in the diamond sector it was considering. However, ALROSA’s long term clients include jewelry retailers Chow Tai Fook and Tiffany & co.
The company added that it is looking to merge its diamond manufacturing capacities in an effort to improve the performance of its cutting and polishing operations.
ALROSA’s cut and polished diamond business consists of the Moscow-based subsidiary Brillianty ALROSA (ALROSA Diamonds), the Barnaul-based Barnaul Kristall Cutting and Polishing Factory LLC and the Orel-based Orel-Alrosa LLC in which the company has a 51 percent stake.
Once merged, the project in Orel will be a subsidiary of the facility in Barnaul, while the factory in Moscow will continue to specialize in large and fancy-color diamonds, which will be offered for sale through international auction houses under ALROSA’s marketing program.
In 2013, ALROSA launched a scheme of re-allocating rough supplies among its cutting factories, based on costs and margin in different categories of rough diamond, with satisfactory preliminary results, the company stated.