The jewellery industry is undergoing significant changes. Once considered a technological curiosity, lab-grown diamonds are now more accessible than ever, thanks to more advanced manufacturing techniques and considerable marketing campaigns. They promise a smaller environmental footprint and lower costs, and it’s clear that they’re set to become the future of the jewellery market. The question is, is it? Luboš Korbička describes his reasons for not working with lab-grown diamonds and reveals their shortcomings. He is convinced that natural diamonds will always have their irreplaceable place in the jewellery industry.
Can you describe your company’s philosophy and the choice of materials used to create your jewellery?
From the start of my career, I knew I wanted to work with something truly exceptional – something created in nature and difficult to access regularly. I wanted to offer people something different from what the competition was selling.
In recent years, the market has seen the arrival of lab-grown diamonds produced synthetically. These stones are a technological marvel, but they are not what I want to work with. Natural diamonds have a history and uniqueness that simply cannot be replicated. Each natural diamond is the result of millions of years of natural processes that have taken place deep beneath the surface of the Earth.
What impact is the current surge in synthetic diamond production having on the market?
I am still not convinced about lab-grown diamonds. I keep a close eye on the market and can see that other jewellery companies are worried about their sales’ impact on the industry.
The market is flooded with lab-grown diamonds. The number of laboratories producing these artificial diamonds is increasing, and the price is dropping dramatically. Such a rapid price decline raises serious questions about the future of the diamond market. I am eager to see how things play out.
What are the principal differences between natural and lab-grown diamonds?
The main differences between natural and lab-grown diamonds are in the way they are formed and in certain physical and chemical properties. Natural diamonds are formed in the Earth’s crust under high pressure and temperature over millions of years. Lab-grown diamonds are produced in laboratories using two main methods: HPHT (High-Pressure, High-Temperature), which mimics the conditions of natural diamond formation in the Earth’s crust, and CVD (Chemical Vapor Deposition), which creates diamonds in a chamber using a gaseous mixture that breaks down carbon atoms.
Both types of diamonds have the same chemical composition and crystal structure. However, they can differ in the amount and type of impurities (such as nitrogen or boron), affecting their colour and other properties. Lab-grown diamonds unquestionably display different fluorescence properties under UV light than natural diamonds.
What factors can motivate a company to buy lab-grown diamonds instead of natural ones?
I am convinced that people mainly choose lab-grown diamonds over natural ones because of the considerable marketing and PR efforts in place. The main reason is price. People like to be thrifty and hide behind the fact that it’s more environmentally friendly than mining natural diamonds. It is not. The production of lab-grown diamonds is exceptionally complex. I recently read a study on producing these diamonds and was shocked to discover the enormous pollution figures. In the last three years alone, several thousand production labs have been set up in China, and it is clear that significant problems exist in dealing with waste, diesel, and general pollution. Let’s be honest. People buy them because they’re more environmentally friendly, but the main reason is the price.
Why did you decide not to work with lab-grown diamonds?
We decided not to work with lab-grown diamonds because of their uncertain future. Their price has dropped dramatically in recent years by hundreds of per cent. I am certain these stones will have a meagre value in the near future, which is perhaps comparable to zircons. We don’t sell our clients something that loses value fast and that other companies make a lot of profit from.
If you want to be the best in the jewellery world, you cannot combine natural and synthetic stones. It would lose your credibility with customers. People will start to doubt the authenticity of natural diamonds. We will not sell our clients something that is currently worth 10,000 CZK and will cost them 600 CZK in a year. That is why we have chosen to remain committed to natural diamonds.
What is your opinion on the environmental and ethical aspects of natural diamond mining?
It depends on the type of mining and the company that arranges it. The large companies involved in mining provide significant financial support to the affected regions. They build schools, roads, hospitals and other infrastructure there. The evidence is clear: large companies mining in Africa have significantly benefited local communities. Once an area has been mined, these companies actively reclaim the landscape. They are reforesting and replanting the area to make mining no longer visible at first sight. While some large mines cannot be reclaimed, most are successfully reclaimed. Thus, it truly depends on the mining company.
I’d like to know your views about the current trend of promoting synthetic diamonds as a greener and more ethical option.
Let me be clear: Lab-grown diamonds are not entirely green or ethical. While massive PR campaigns are promoting these diamonds, it’s crucial to maintain a balanced perspective. Lab-grown diamond production is very energy-intensive, using up to 25% more energy than natural diamonds. It requires the use of various chemicals and produces large amounts of waste. The proliferation of new laboratories, often in countries with insufficient waste management supervision, has led to releasing these materials into the environment. I believe the situation is not as rosy as advertisements and marketing campaigns make it out to be.
What changes have you seen in the diamond market as demand for lab-grown diamonds has increased?
We are currently at a pivotal moment in the jewellery industry, a moment that invites us all to be part of the change. The undeniable truth is that demand for natural diamonds has slowed down. Major companies are responding by attempting to slow down the importation of natural diamonds, mainly from India and Africa. They aim to artificially reduce the number of natural stones on the market and maintain their price.
The production of lab-grown diamonds has been explored for some time, but over the past few years, the technology has become more economically accessible. The energy-intensive and complex process is now a relatively affordable and straightforward procedure. The cost of inputs to diamond production has plummeted. Millions and millions of carats are now being produced, with demand lagging behind supply. The production technology has undoubtedly become more superficial, cheaper and faster, making it accessible to a broader audience.
Do you believe lab-grown diamonds can ever completely replace natural stones in the jewellery industry?
I do not think so. The same concerns were raised when artificial pearls first appeared on the market. The entire market was anxious about whether natural pearls would still be in demand. Ultimately, the market divided into two distinct groups: Those who prefer natural products and see their beauty, and those who opt for the significantly more affordable synthetics. I am certain that the same scenario will happen with diamonds. Synthetic diamonds will become common stones like zircons because they will cost little. We’ll see what the market looks like in a year or so.
What effect do lab-grown diamonds have on natural diamond prices?
The growing production of lab-grown diamonds has significantly affected the market price of natural stones. The market for natural investment diamonds is currently experiencing a slowdown. While the trend is not dramatic, the slowdown is evident worldwide.
Lab-grown diamonds are set to shake up the market with their cheaper alternatives.
Do you think your company might reconsider its stance on lab-grown diamonds at some point in the future?
I can say with certainty that we have no intention of changing our stance on lab-grown diamonds, and I have no intention of doing so in the future. However, if the market and demand forced us to do so—for example, if natural diamonds stopped being sold, which I can’t imagine and don’t think will happen—we would adapt to the market. We have no intention of working with lab-grown diamonds under the current conditions.
What are the main differences in certification and authentication between natural and lab-grown diamonds?
The certification of lab-grown diamonds is done precisely the same way as that of natural diamonds. Lab-grown diamonds are certified by reputable companies such as the GIA. The certificate clearly states the designation “lab-grown diamond.” Otherwise, the content of the certificate is virtually identical.
How do you guarantee that your customers are confident they receive a genuine natural diamond?
This is a crucial issue for our company. We rigorously vet our suppliers and only work with established diamond merchants with the technology to identify lab-grown diamonds. We only purchase from verified sources, so we can guarantee that we are getting genuine natural diamonds.
What are your customers’ reactions when they learn you don’t work with lab-grown diamonds?
We have only encountered this in a handful of cases so far. Our customers seek the unique and rare qualities only natural diamonds can offer. We don’t encounter many reactions about why we don’t work with lab-grown diamonds because our customers understand our position.
What innovations and trends do you expect to see in the jewellery and diamond industry in the coming years?
I am confident that there will be a new wave in the Czech Republic, where people will learn not to be afraid to wear more expressive and flashy diamond jewellery because the price may be more affordable. Clients will want to appreciate their uniqueness more and distinguish themselves from others. They will avoid wearing the same pieces as everyone else and want to express their distinctive style through jewellery, clothing and other accessories.