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•The majority of manufacturing beneficiation (jewellery fabrication & diamond cutting) takes place in countries that have little or no mine production of precious metals and diamonds.

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•Arcelor Mittal South Africa uses lump (-25 +8 mm) iron ore in their blast furnaces and fine iron ore (-8 +0.2 mm) undergoes agglomeration in sinter plants before feeding to the blast furnaces. • The blast furnaces produce pig iron which is then converted to steel in basic oxygen furnaces (BOF).

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With South Africa's economy built on gold and diamond mining, the sector is an important foreign exchange earner, with gold accounting for more than one-third of exports. In 2009, the country's diamond industry was the fourth largest in the world.

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It is a concern that India and Botswana had overtaken South Africa in diamond beneficiation, despite South Africa having vast diamond resources, he added. "It is important to establish beneficiation centres," said Bruce Cleaver, CEO of De Beers Group of Companies.

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