Rio Eyes Sales Growth For Australian Diamonds
News: Anglo-Australian mining company Rio Tinto has predicted that its Argyle diamond mine in Western Australia will be well-placed to capitalise on the changing needs of the Chinese diamond market, Mining.com reports. The company has stated that coloured diamonds will become inc reasingly popular in China and that the red, blue and pink gems from its Argyle mine will be able to meet this demand.
BMI View: With China's economy on course for a rude slowdown over the coming years, Australia's mining sector is set to suffer the painful spillover effects of a sharp investment slowdown. Already, the mining sector is feeling the crunch of plummeting commodity prices as a string of miners scale back their ambitions and slam the brakes on investment. We forecast the value of Australia's mining sector to reach US$181bn by 2017, growing at an annual average rate of 4.3% over our forecast period. This contrasts with an average growth rate of 23.3% per annum over the past decade.