Disadvantages of Natural Diamonds: The Honest Trade-offs vs Lab-Grown

Natalia

The short answer: natural diamonds cost far more than lab-grown diamonds of the same size and grade, their origin is hard to trace with certainty, mining carries a real environmental and social footprint, and the idea that they are a store of value rarely survives a trip to a buyer. None of that makes a natural diamond a bad choice. It means you are paying for rarity and story, not for a better-looking or harder stone.

We sell both natural and lab-grown diamonds, set in solid gold, so we have no reason to talk you out of either. Here are the honest trade-offs, as we explain them to people at the bench.

Are lab-grown diamonds real diamonds?

Yes. A lab-grown diamond is crystallised carbon, the same as a mined one. It has the same hardness (10 on the Mohs scale), the same way of bending and splitting light, and the same durability for everyday wear. You cannot tell them apart with the eye or a loupe; it takes laboratory equipment. That is why the useful question is not "which is the real diamond" but "what am I paying for, and what will it be worth to me".

The disadvantages of natural diamonds

1. Price for the same look

This is the big one. For the same carat weight, colour and clarity, a natural diamond typically costs several times what a lab-grown stone does. The two will look identical on your hand. The extra money buys geological rarity, not extra sparkle. If your budget is fixed, the same money in lab-grown can mean a larger stone, a better colour grade, or more gold in the setting.

2. Resale value is usually lower than people expect

Natural diamonds are often sold as a store of value. In practice, a diamond bought at retail usually resells for well under what was paid, because a buyer is paying wholesale, not retail. A natural stone does hold some resale value, and lab-grown stones hold much less, so this disadvantage is about expectations: buy a natural diamond because you love it, not as an investment.

3. Origin is hard to prove

The Kimberley Process was set up to keep "conflict diamonds" out of the rough-diamond trade, but its definition is narrow and it certifies shipments of rough stones, not individual polished diamonds. Once stones are mixed, cut and resold, tracing a single diamond to a single mine is difficult unless it comes with a specific origin programme. If knowing exactly where your stone came from matters to you, ask for documentation, and know that for most natural diamonds it simply does not exist.

4. Mining has a footprint

Diamond mining moves very large amounts of earth and uses water and energy, and in some regions it is tied to difficult labour conditions. Lab growing has a footprint too, mostly the electricity it takes, and that depends heavily on how the electricity is made. Neither option is impact-free; they are different kinds of impact.

5. Large, clean stones get expensive fast

Natural diamond prices climb steeply as size and clarity go up, because big, clean stones are rare. A one-carat natural stone with high colour and clarity can sit in a different price bracket altogether from the same stone at half a carat.

The disadvantages of lab-grown diamonds

To be fair to both sides:

  • Almost no resale value. Lab-grown production keeps getting cheaper, so prices keep falling. Buy one to wear, not to sell.
  • No rarity story. For some people the fact that a stone formed deep in the earth over a very long time is the whole point. A lab stone cannot give you that.
  • Energy use varies. "Eco-friendly" claims depend on the grower's power source, and that is rarely disclosed.

Natural vs lab-grown at a glance

Natural diamond Lab-grown diamond
What it is Carbon crystal formed in the earth The same carbon crystal, grown in a lab
Hardness and durability 10 on Mohs, made to be worn every day Identical
Looks Indistinguishable without lab equipment Indistinguishable without lab equipment
Price for the same grade Much higher A fraction of natural
Resale Some, usually well below retail Very little
Traceable origin Rarely, for an individual stone Known grower, usually stated on the certificate
Main footprint Mining: earth moved, water, energy Electricity for growing
Best for Rarity, heritage, an heirloom story The most stone and quality for your budget

How to tell which one you are buying

A reputable seller will always say which it is. For larger stones, a grading report from a laboratory such as GIA or IGI states whether the diamond is natural or laboratory-grown, and many stones carry a tiny laser inscription on the girdle that matches the report number. Our listings say "Lab-Grown" in the product title when a stone is lab-grown, and the description gives the colour and clarity of every stone.

So which should you choose?

Choose a natural diamond if its origin in the earth means something to you, or if the piece is meant to carry a family story. Choose lab-grown if you want the biggest, cleanest stone your budget allows, or a piece you will wear hard and not worry about. Both are set the same way, in the same gold, by the same hands.

If you already have a diamond, natural or not, from a ring you never wear, we can reset it. Natalia examines and tests every stone in front of you before any work begins. See how custom and bespoke commissions work, or read what hand-setting a diamond in gold actually involves.

Browse natural and lab-grown diamond jewellery in solid gold · See only lab-grown pieces

Questions people ask

What are the main disadvantages of natural diamonds?

Higher price than a lab-grown diamond of the same grade, resale value well below what you paid, an origin that is usually impossible to trace for an individual stone, and the environmental footprint of mining.

Do natural diamonds hold their value?

Partly. A natural diamond keeps more resale value than a lab-grown one, but it usually resells well below its retail price. Treat it as something to wear and keep, not as an investment.

Is a lab-grown diamond a fake diamond?

No. It is real diamond, with the same chemistry, hardness and sparkle as a mined one. Simulants such as cubic zirconia or moissanite are different materials; a lab-grown diamond is not a simulant.

Can a jeweller tell a lab-grown diamond from a natural one?

Not by eye. Telling them apart needs specialist laboratory equipment, which is why grading reports state the origin and many stones carry a laser inscription.

Are lab-grown diamonds better for the environment?

They avoid mining, but they use a lot of electricity to grow. How green a lab-grown diamond is depends on the grower's power source, which is rarely disclosed.

Back to blog

Leave a comment

Please note, comments need to be approved before they are published.

Natalia, NJewellery enamelling artist and jeweller

About the maker

Natalia — founder, enamelling artist and jeweller at NJewellery, Central Coast NSW

Natalia has been making one-of-a-kind handmade jewellery in Australia for over a decade. Each piece is enamelled, set, and finished by hand in her Central Coast studio — champlevé, cloisonné, melted silver, and Australian opal work are her signatures. More about Natalia →