The title of this blog is a question which has been asked to me multiple times from my friends, family and my blog readers – where can I buy the cheapest diamonds in Bangkok or anywhere in the world? Is it cheaper to buy diamonds in Bangkok compared to Singapore, Hong Kong, Mumbai, Dubai, Sydney, London, New York, etc.? It does seem like a logical question to ask, especially to someone like me who has been in the diamond trade for over 10 years. There must be a location where I can buy the cheapest wholesale diamond every time!
The honest truth is diamonds are highly traded commodities today and almost all countries have similar prices. This is true for any respectable diamond wholesalers, traders or retailers. The only difference usually is the tax code of a particular country (for example 7% VAT in Thailand) or the options you have available in the particular market – certain countries prefer SI quality diamonds like the US, while countries in East Asia prefer cleaner diamonds (VVS or VS clarity).
The reason why the end consumer feels certain markets are cheaper than others is because certain countries have ‘more’ companies or players who sell diamond jewelry to them and therefore accept lower margins. While other countries are just ‘more transparent’ regarding the diamond prices as they openly publish the prices online. This will make these countries seem cheaper than others.
However, as traders, we always get a weekly price list called the Rapaport Diamond price list which lets us know how much a diamond should cost per carat based on the diamond’s 4Cs. You can actually see this list ‘indirectly’ in our blog (updated every 3 months) by clicking here to let you know an “estimated amount” in how much a 0.50 carat, or 1 carat or 2 carats diamond should cost in wholesale.
These diamond prices are pretty standard to any trader around the world and if they do overcharge, other wholesalers, traders or companies will enter that market quickly and reduce the diamond prices accordingly.
So, the question being asked regarding where you can get the cheapest diamond is actually incorrect. It is not about where the diamond is located from, that determines the prices but from whom you know ‘inside’ the diamond trade, which can get you the correct wholesale price.
The Diamond Trading Process
Now let us think about this logically in how diamonds or diamond jewelry are usually traded. There is a simple process what a diamond must go through before reaching your beautiful fiancé’s/ girlfriend’s or wife’s hands.
- First diamonds have to be dug from the ground either from open pit mines, found in alluvial sources or appear from sheer rubble! (almost impossible in the modern day). These mines are controlled by ‘very’ large corporations or countries that make sure they have exclusive rights so they can control the rough diamond prices. Corporations like De Beers or countries like Russia, Canada or Australia are now distributing all the rough diamonds.
- The rough is sold directly to large companies through invitation only. For example, De Beer’s rough is sold to companies who they have screened and ‘selected.’ These companies are called “siteholders” and they have an option to buy the rough diamonds ten times during the year (for a period of six days called ‘sight periods’). During these sites, the companies will bid for the highest price to get the diamond rough.
- From there, diamonds are then cut to facets which we all recognize, and certified either in-house or from reliable third party certificate providers like GIA, HRD, IGI, EGL, etc.,
- These manufacturers will then either sell the cut diamonds to other diamond traders, wholesalers or directly to some wholesale jewelry manufacturers.
- The wholesale jewelry manufacturers finally sell their finished diamond jewelry to retailers, where you will see your finished ring in that beautiful display at any big department store or boutique jewelry shop.
So, as you can see above, the usual process of acquiring a diamond ring will require your diamond to go through 3 to 4 hands before reaching to you. This process is the same anywhere in the world in Bangkok, Singapore, Hong Kong, Sydney, London, etc.
You can imagine at each level the individual or company will need to make “a margin” to sustain their business. Therefore, the more hands the diamonds has gone through the diamond distribution chain, the more you the consumer will have to pay.
Why traditional way of buying a diamond engagement ring or jewelry is not relevant today.
Consumers still like to buy their diamond engagement ring or jewelry from famous brands as they ‘believe’ they are more
- Great return policies.
However, you have to remember the reason why these brands are famous is because they have spent a lot promoting their brand & products through ad campaigns or hired brand ambassadors. Also to serve their clients and ‘keep their image’ they need to hire professional sale staffs, have excellent jewelry displays, or are located in premium areas so they can provide excellent services.
All this costs money in terms of marketing expense, rental expense, staff salaries, inventory expenses, etc., So, if you are still a traditionalist and prefer buying from “big brands” due to brand loyalty or convenience, you will have to pay more as nothing is free.
Traditional vs New Age way of buying diamond jewelry
The above method in buying jewelry from traditional store fronts made sense 20 years ago when we didn’t have the power of internet and information wasn’t as readily available.
But, as we are now in the 21st century, the power of the web has transformed the way we can buy our diamonds or custom diamond jewelry. If enough research is made, you can now get your diamond or custom diamond engagement ring 1 or 2 steps above the traditional retail level which means you are buying diamond jewelry a lot cheaper or like a wholesaler!
The image below summarizes what I mean when I say we can ‘skip’ 1 or 2 steps above.
An example where this is already occurring is the United States. Consumers have started changing their buying habits by purchasing their diamond engagement ring online instead of traditional retail stores. Large online diamond sellers like Blue Nile or James Allen, etc., are now taking market share from traditionalists like Tiffany, Cartier, etc., as they can provide better deals by exclusively selling online with ‘smaller’ overheads.
That is why most consumers and traders do agree that one of the most competitive markets for the end-user to buy a diamond ring is the US.
This, however, does not mean that the United States is the cheapest place. I or any respectable diamond wholesaler can beat these prices (being modest of course!).
Buyer tip: When buying a diamond do please check these two websites to see how much you are paying for your ‘center diamond.’ If your contact is selling the diamond more expensive than these sites then most probably you are overpaying. You can read more about how to check if you getting a good deal from this blog post: Step by Step Comprehensive Guide: How to get the best deal for your diamond engagement ring
However, other countries including the ones who are actually sourcing the diamonds, cutting the diamonds or making the finished rings are still depended on the “old traditional retail model” and that is why the consumer feels they are a lot more expensive to purchase their diamond ring.
Check who you are getting your diamond from
As you can see above the cheapest way to buy your diamond is by getting as close to the diamond manufacturers as possible. In most countries, you can get there by looking for exclusive online sellers or knowing someone who is actually an ‘insider’ in the diamond trade.
Most people in the diamond wholesale business source their diamonds directly from diamond manufacturers or are manufacturers themselves; however, it really does depend on how much margin they want to “extract from you” knowing that you are not in the trade.
Therefore, please remember it is not where you buy the diamond but from whom you buy it which matters to get the cheapest and fairest diamond price out there!
Thai Native Gems Diamond search service:
If you are in the market looking for the best diamond in Bangkok, Thailand contact us and let us know what your budget is and what you are looking for. From this initial information, we will swiftly find and email you 4 to 5 diamond options to choose from that we feel fits your needs best. Unlike other traditional or online dealers, I am not looking to sell you anything but will provide you honest, frank and objective opinion in what we think is best in the budget you offer. This service is free, and there absolutely no commitment to buy any of our suggestions. The only thing you have to do is not respond to our email and you won’t hear from us again! So, you truly have nothing to lose!
How do we compile this diamond list? Our search process is provided below:
1) We first will contact our local diamond supply network and check if there are any stones that fit your requirement in Bangkok, Thailand. We have over 50 contacts in Bangkok and will check ALL to make sure we can provide you the best deal.
2) If not satisfied, we will then check online through our extensive global network sifting through over 900,000+ diamonds and will find you the best diamond. The only setback when choosing the diamond from this global list is, it can take one week to two weeks to arrive in Bangkok.
Contact us today to get all your wholesale gemstones, diamonds, and jewelry needs. We can Source, Search and Supply anything you require.
What will you get if you contact us
- Get wholesale and highly competitive prices of gemstones & diamonds from anywhere through our extensive network of contacts around the world
- All stones sold by us is verified in house by our GIA Graduate Gemologist or certified
- We provide personalized service and NOT the same old “One Size Fits All” Approach
You can learn more by clicking here or image below