Indian diamond jewellery consumers have been a big disappointment for the world's biggest diamond mining company De Beers in 2013.

According to the annual report by Anglo American owner of De Beers, the Indian diamond jewellery market has not performed up to its mark in 2013, while the US and China have continued to show positive growth with strong holiday season sales.

Anglo American stated that despite global macro-economic uncertainty, diamond jewellery sales increased in local currency terms in all major diamond markets, except India. In India, challenging economic conditions and devaluation of the rupee have resulted in decline of over 30 per cent in demand, industry leaders said.

The Indian diamond jewellery market is pegged at $8.5 billion with the year-over-year increase of around 15-20 per cent. De Beers CEO Philippe Mellier had told Reuters in an interview that De Beers could boost its market share to 40 per cent in a few years, but India is the big drag on its growth for now.

De Beers production in 2013 increased by 12 per cent to 31.2 million carats. But, sales increased slightly to $6.4 billion, compared to $6.1 billion in 2012.

The company expects a slight strengthening in growth in diamond jewellery demand in 2014, driven by continued gradual improvements in the global economic outlook.

The US and China are expected to continue to be the main engines of growth for polished diamonds. Most other markets are expected to show positive growth. Diamond manufacturers in India face continued pressures regarding levels of bank financing. In India, further volatility of the rupee may potentially affect rough diamond sales.

A senior office-bearer of Gems and Jewellery Export Promotion Council (GJEPC) said, "There were number of factors that affected the diamond jewellery sales in the country as well as the diamond manufacturing in 2013. Rupee volatility, increase in rough diamond prices, gold price volatility and decreased consumer confidence. But, 2014 looks promising with increased optimism of diamond jewellery sales."