Government aims for De Beers deal to process gems locally

June 23, 2015 8:29 AM

Such a move would mirror a similar one taken by neighbouring Botswana, the world's largest diamond producer, which in 2011 negotiated a deal with De Beers to sort, value and sell diamonds domestically rather than in London.

Diamond buyer Elliot Tannenbaum, from the Leo Schachter Diamond Group, holds uncut diamonds from his company's allocation at a sightholders week at De Beers offices in central London August 29, 2013. REUTERS/Olivia Harris

Namibia is finalising a deal with diamond producer De Beers that will see more of the gems cut and polished in the southern African country rather than abroad, newspaper The Namibian reported on Tuesday.

A unit of Anglo American, De Beers operates a joint venture in Namibia with the government called Namdeb, which accounted for six percent of group diamond production in the first quarter of 2015.

The newspaper said the government wanted 25 to 30 percent of the diamonds produced by Namdeb to be processed in Namibia.

Officials from Namdeb and De Beers were not available for immediate comment.

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