Nov 08, 2019

ALROSA Adopts Sarine's Technology for New Initiative of Digital Tenders

Both Russian diamond mining giant ALROSA and Israel-based diamond technology leader Sarine Technologies, yesterday simultaneously put out statements about the use of the latter’s technology in the former’s new initiative of holding “Digital Tenders”.

“During the October 2019 trading period ALROSA, for the first time, offered its clients to participate in Digital Tenders, where a full digital scan of each rough diamond was provided for detailed analysis,” ALROSA stated. “This enabled ALROSA’s customers to thoroughly evaluate the rough diamonds and make informed purchasing decisions based on comprehensive data regarding the offered rough stones.”

Elaborating on the technology Sarine said: “The technology behind Digital Tenders is, as aforementioned, derived from the DiaExpert® 3Dmapping, the Galaxy® inclusion scanning and various other systems. The information provided with each stone comprises the rough diamond’s detailed external shape, internal inclusions and anticipated colour and fluorescence, and is provided in standard Sarine Advisor® diamond planning format, readily usable by clients' personnel to evaluate possible polished output solutions, each according to their own needs, preferences and price lists.”

ALROSA explained that its new initiative provided many advantages for buyers. Whereas  the earlier, traditional method of sales required clients to travel to a designated office of the Company, where goods could be examined only by a limited number of experts, Digital Tenders allows the buyers to use the expertise of their entire planning team; and to collaborate with the polishing factory in order to come up with the best procurement decisions.

“Digital Tenders for rough diamonds allow us to improve our customers’ experience by reducing the risk associated with their purchasing decisions,” said Evgeny Agureev, Deputy CEO of ALROSA. “This ensures their long-term sustainable profitability as well as streamlines manufacturing processes after procurement of the stones. ALROSA concurrently benefits from the ability to show products to a large variety of clients within a short timeframe. This is a very good example where digital technology enables the parties to end up in a win-win situation.”

ALROSA affirmed that though the initiative was still in its pilot stage, sales results indicated that ALROSA’s clients are interested in the format.

David Block, CEO of Sarine, said: "We are glad to provide this service to ALROSA and strongly believe it will provide significant value to ALROSA and their clients who are, for the most part, Sarine customers as well. The diamond industry is evolving, and rough diamond buyers are seeking ever more information in order to ensure decisions that are the most effective. Market conditions and margins are such that few can afford to err in the purchase of rough diamonds for their respective businesses. Sarine already has in place the industry's most advanced technological infrastructure to enhance rough diamond buying efficiency and is continuously investing to broaden its offerings in this segment."