Namibia Sees Diamond Production Declining in 2013

In addition to diamonds, Namibia, the fifth-biggest diamond producer in the world, is also likely to see a slowdown in its mining industry overall which is vital to its economy, the central bank said.

Diamond production in 2013 is likely to decrease to 1.64 million carats from 1.67 million carats last year, the Bank of Namibia said in an economic update.

On a bright note, diamond output is seen increasing by 2.5 percent next year, the central bank added.

“The diamond industry continues to operate at near capacity, as onshore production continues to wind-down, reducing production over the medium term," the central bank said. “Offshore production is, thus, expected to continue to be the main source in total diamond extraction.”

Namibia is the world’s largest marine miner of diamonds.

Mining production overall will decrease by 0.9 percent in 2013 from 12 percent in 2012 “owing to developments in diamond and uranium production,” the bank said.