Diamond industry in Armenia

The diamond industry in Armenia is a significant part of the country’s manufacturing and exports. Armenia is a major supplier of diamond.

Overview
Armenia, a country without many mineral fuels, is known for its diamond processing industry. The industry was established during the Soviet era and is considered one of the traditional sectors of Armenia’s economy. After the collapse of the Soviet Union in 1991, the production declined gradually, but was later recovered with the investments from the Armenian diaspora. In 1999, the diamond industry provided about 30% of total manufacturing exports from Armenia. The industry started to show some slow decline again in mid-2000s, because of increase in cost of the production instruments and increase of the markets in China and India.

Today, over 50 diamond-cutting companies operate in Armenia. The estimated number of people involved in the industry is about 3,000 to 4,000. Some of the advantages of Armenia in diamond-cutting industry are the presence of a large number of ethnic Armenian jewelers abroad, who are willing to invest in the country and its access to Russian and international markets. Most diamonds polished in Armenia come from Israel, Russia and several EU countries, most notably Belgium.

US Embassy report
On August 26, 2011, WikiLeaks released a report of the US Embassy in Yerevan dated December 12, 2003 named Armenia: Report on Kotayk Province:

A number of successful diamond-cutting enterprises are located in the villages of Nor Hajn and Nor Geghi. Among them Shoghakn, Lori and Arevakn plants belong to foreign investors. Aghavni and Andranik plants are operated and owned by local entrepreneurs. Lori, owned by Haik Arslanian, a businessman of Armenian origin from Antwerp, Belgium, employs 400 highly qualified diamond cutters. Equipped with modern western processing lines and using the latest technologies, the plant can fulfill even the most complicated orders. The company has an agreement with Arslanian Cutting Works in Belgium, by which the Belgian company supplies the uncut diamonds and the Armenian plant returns the processed diamonds for distribution in European and international markets. Smaller amounts of Lori’s products are distributed in the United States via the New York-based Cora Diamond Company, which also supplies Lori with uncut diamonds.

Shoghakn diamond-cutting plant was established in the village of Nor Hajn in 1971 as a state-owned enterprise. In July 2000 the plant was privatized by Lev Levayev, a prominent Russian businessman, who owns a worldwide network of diamond processing companies. Currently Shoghakn JSC employs 1200 specialist diamond cutters. It exports processed diamonds primarily to Israel.
Arevakn LLC, owned by the Belgian company Tashe, operates a newly established diamond-cutting plant based in Nor Hajn.

Armenian Jewelers Association
In 1998, the Armenian Jewelers Association (AJA) was founded by Armenian jewelers from around the world. Its mission is to “promote Armenian jewellers globally. Bringing together Armenian Jewellers and developing the jewelry industry in Armenia is a mission of great importance.”

Armenian diaspora
One of the important sectors that Armenian communities in Antwerp excel and involved in is the diamonds trade business, that based primarily in the diamond district. Some of the famous Armenian families involved in the diamond business in the city are the Artinians, Arslanians, Aslanians, Barsamians and the Osganians.

Source from Wikipedia