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Firms from Armenia want to step up the amount of diamonds they import from Russia.

Diamond-cutting companies in Armenia are looking to increase the amount of the precious stones they import from Russia, it has emerged.

According to Rapaport, companies from the country are keen to bring in diamonds worth $100 million (£63 million) annually.

The firms would enter into an agreement with Russia's state-owned diamond mining company Alrosa and are keen to sign contracts with as many businesses as possible that are on Alrosa's client list.

This follows a meeting of the Armenian-Russian intergovernmental commission on economic cooperation that took place in Yekaterinburg in Russia recently, at which a new protocol regarding diamond trading between the two nations was adopted.

Under the terms of the agreement, Alrosa – which accounts for 97 per cent of Russia's overall diamond output and was responsible for 25 per cent of global diamond production in 2002 – will sell precious stones worth between $20 million and $30 million to Armenian companies during 2011.

The Russian mining giant is in talks to supply rough diamonds to three Indian companies, with the deals expected to be signed next year.

Russian diamond miner Alrosa is planning to open an office in India and is in negotiation to supply the precious stones to three companies in the country.

Domain-B reports Russian news agency RIA Novosti as saying the state-owned firm will distribute rough diamonds to the three enterprises – Diamond India, Ratilal Becharlal & Sons and Rosy Blue – providing they can agree contracts.

It is seeking to sign three-year deals with each business, which would see it provide rough gems worth $490 million (£308 million).

Signing of the agreements is expected to take place in March 2011, when Russian prime minister Vladimir Putin will make a working visit to Russia.

Recent figures released by the mining giant – which is responsible for 97 per cent of Russia's total diamond output – showed it expects to have sold rough and polished examples of the precious stones worth in excess of $2.78 million in the first nine months of 2010.