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Ch. 5: Part III: Worst Crisis in Diamond Industry

Ch. 5: Part III: Worst Crisis in Diamond Industry Page of 688 Ch. 5: Part III: Worst Crisis in Diamond Industry Text size:minus plus Restore normal size   Mail page  Print this page
WORLD CRISIS AND WORLD LEADERSHIP                      311
and Son Ltd.' It has ever since played an important role in the financing of the Anglo American Corporation group of interests (including, of course, diamonds).
XX
Gradually, the depression hfted: the figures of stocks held by the Diamond Corporation and of sales by the Diamond Trading Company both bore witness to the improvement that was taking place:
Gradually, also, activity was resumed at the mines, though the full restoration of the old conditions was, in some cases, delayed for many years, and in some cases the old conditions were never restored at all. The first step taken at Kimberley was the resumption of 'washing' operations of the diamondiferous soil—the 'blue ground'—that had already been mined and was available on the depositing 'floors'. It was followed by renewed underground operations at certain mines—at Dutoitspan in March 1936, at Bultfontein in June 1937. The Consolidated Diamond Mines of South West Africa began production again in the southern portion of the reserved area (the 'Sperrgebiet') on 1 January 193 5- Washing began atjagersfontein in July 1936, and was finished by February 1937. Both in the case of this mine and of the Premier Mine it was realized that under the then conditions the mines were really unpayable and, in terms of the diamond producers' agreement and with the assent of the Union Government, the quotas assigned to them were transferred to De Beers, though it involved some difficult nego­tiations before agreement was finally reached. At Koffiefontein washing operations only began in March 1937 and were maintained till March 1940, but by then an entirely different state of affairs obtained, and the 'great depression' was a memory, though a poignant one, of the past. The Diamond Corporation declared its first dividend, at the rate of -]\ per cent, for the year 1937: a matter not without significance to the old conference producers, who were shareholders in the concern, in partnership with the old Syndicate firms. Later, the ownership of the ordinary share capital in the Diamond Corporation was to pass entirely
Ch. 5: Part III: Worst Crisis in Diamond Industry Page of 688 Ch. 5: Part III: Worst Crisis in Diamond Industry
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