DIAMOND MARKET

Evening Post, Volume CXVI, Issue 110, 6 November 1933, Page 7

DIAMOND MARKET

EFFECT OF DEPRESSION

FABULOUS NEW FIELD

Tho diamond industry has suffered severely from tho world-wide depression. At a time when increased supplies have become available, the demand has fallen away, says the Melbourne "Age." During the post-' war years the United States, which .enjoyed unprecedented prosperity up to 1929, took nearly 80 per cent, of the world's production of diamonds. But tho trado has dwindled to small proportions in consequence .of the collapse of tho prosperity boom, in the United States. In March, 1932, the Premier mine, in the Transvaal, closed down, throwing 330 whites and 1500 natives out of employment. The Premier, which has been in existence for 30 years, is the largest diamond mine an the world.

During the past few years new diamond fields lidvo been discovered in various parts of South Africa, much to tho embarrassment of the South African 'Government, as well as to. the people interested in the old fields. Tho richest of these now discoveries is on tho coast of Namaqualand, near Alexantler Bay. It is said that this field is fabulously,rich. Claims were granted to tho discoverers, Dr. Hans Merensky and Dr. Bcuning, and they proved ,to be so rich that the Government restricted tho monthly output from them, so as to prevent a serious fall in the diamond market. Instead of throwing the field open to prospectors, the Government proclaimed it a. State diggings, to be worked for the benefit of the South African Union. In making this announcement in tho South African House of Assembly on March 1, 1928, Mr. F. W. Beyers, Minister of Mines, who had visited the field, said: "Sometimes the diamonds are found a few feet bejow tho surface, sometimes at even less depth. The ground is very soft, and when you start digging you can see tho diamondsowith the naked eye. No washing machines are needed there. T*he rich ground is not confined to <3io claims of the Merensky people. Thcsw are diamonds over' a large area, and there aro a very considerable nmnbar of claims ever tho whole area of Alexander Bay. When I was there I picket! up diamond's to the value of £600 in less than an hour, and I was not very busy doing that. A native scratched the ground, and I simply picked up tho sUmcs."