The State Diamond Trader’s main business is to buy and sell rough diamonds in order to promote equitable access to and beneficiation of diamond resources. The main aim of the State Diamond Trader is to address distortions in the diamond industry and correct historical market failures to develop and grow South Africa’s diamond cutting and polishing industry.

The State Diamond Trader is a state owned entity established in terms of Section 14 of the Diamonds Amendment Act, 29 of 2005. The company is classified as a Schedule 3b entity of the Public Finance Management Act (PFMA).

The State Diamond Trader sells to approved customers through the State Diamond Trader’s application and approval process. The entity is eligible by law and proclamation to purchase up to 10% of the run of mine from all diamond producers in South Africa.