IGI Factory vs Laboratory Grading: What’s the Difference? | BirKarat

IGI Factory vs Laboratory Grading: What’s the Difference? | BirKarat

BİRKARAT • DIAMOND EDUCATION

Is an IGI Certificate Enough?

Understanding the difference between diamond grading and diamond selection — and why BirKarat SEFF™ looks beyond the certificate.

A diamond graded 3.00 ct, E Color, VS1 Clarity is not necessarily going to look identical to every other diamond carrying the same grades.

What is an IGI “In-Factory Laboratory”?

As laboratory-grown diamond production has expanded, certification infrastructure has evolved alongside it. In its public corporate disclosures, IGI distinguishes between traditional laboratories and “In-Factory Laboratories” integrated into selected high-volume laboratory-grown diamond manufacturers.

This model is designed to reduce logistics, shorten turnaround times and make high-volume grading operations more efficient.

IMPORTANT DISTINCTION

“In-Factory” does not mean a separate or lower IGI grading standard. The distinction is primarily where the grading service is physically and operationally delivered.

IGI SERVICE DELIVERY MODELS

Factory IGI vs. a Conventional IGI Laboratory

This is the distinction BirKarat considers important. IGI publicly describes conventional laboratories and in-factory laboratory setups as different service-delivery formats. The grading framework and IGI report remain IGI processes, but the physical environment and parts of the operating workflow are not identical.

POINT OF COMPARISON IGI STANDALONE LABORATORY IGI IN-FACTORY LABORATORY
Location IGI premises Diamond grower's premises
Diamond physically leaves manufacturer Yes No / generally remains onsite
Main purpose Normal independent submission Very high-volume LGD certification
Equipment Laboratory infrastructure IGI states necessary equipment is supplied by the customer
IGI gemologists Yes Yes
Manufacturer employees involved Normally no Yes, in certain basic parts of the certification process
Manufacturer employees trained by IGI N/A Yes, for certain basic certification activities
UID / electronic tracking Yes Yes — within IGI's documented control framework
Multiple graders / consensus Yes IGI describes the same documented quality-control framework
LGD laser inscription Mandatory Mandatory
IGI grading report / 4Cs Yes Yes
Report verification Yes Yes
Speed / logistics Normal submission workflow Designed to be significantly more efficient
Designed for bulk production Not specifically Yes
WHAT DOES NOT CHANGE?

The IGI laboratory-grown diamond report still represents a full grading assessment. IGI states that laboratory-grown diamonds are screened for origin; color opinions are submitted independently by multiple graders; clarity is assessed at 10× magnification; and color and clarity grades are finalized when sufficient consensus is reached.

IGI'S OWN PUBLIC DISCLOSURE

Does IGI acknowledge additional risks in the in-factory model?

Yes. This is one of the most important distinctions in IGI's own public filings.

IGI states that because certification through its in-factory and mobile laboratory setups is conducted on customers' premises, it may have less oversight over third parties who have access to those premises. IGI identifies the possibility of grading errors or fraud by gemologists or third parties as a risk that its controls are designed to mitigate.

CONTROLS IGI DESCRIBES
  • Independent grading opinions and consensus before color and clarity grades are finalized.
  • Electronic identification and tracking of diamonds through the grading process.
  • Quality checks and periodic calibration of gemologists.
  • Centralized grading governance and tracking through IGI's SwiftCert platform.
  • Operational controls intended to reduce grading errors, mix-ups and unauthorized interference.

This does not mean an in-factory IGI report is unreliable. It means IGI itself recognizes that conducting certification inside a customer's premises creates a different oversight environment, and it describes controls intended to manage those risks.

For BirKarat, this reinforces a simple principle: the IGI report remains an important grading document, but certification and BirKarat's final diamond selection are two separate stages.

So, is the certificate different?

No. The important distinction is between grading and selection.

A gemological laboratory's role is to identify, measure and grade a diamond according to established criteria. Carat, color, clarity, measurements, polish, symmetry and other report data are part of that grading process.

For BirKarat, the real question is not simply “Does this diamond have a report?” The more important question is:

“Among hundreds of correctly graded diamonds, which one actually looks exceptional?”

Same Certificate. Different Appearance.

EXAMPLE
3.00 ct · E · VS1 · Excellent Polish · Excellent Symmetry

Two oval diamonds can appear almost identical on paper, while differing significantly in:

DEPTH60.5% vs 63.0%

Can affect how efficiently carat weight is distributed within the stone.

L/W RATIO1.48 vs 1.56

Changes the face-up shape and proportion character of the oval.

VISIBLE SPREADCan differ

The same carat weight may not look the same size on the finger.

BOW-TIEMild vs dominant

Can dramatically affect the center appearance of fancy shapes.

Same carat.
Same color.
Same clarity.
Same laboratory.
Yet visually, they can be two very different diamonds.
BİRKARAT PRINCIPLE

Grading ≠ Selection

The laboratory grades the diamond.
BirKarat selects the diamond.

Particularly with fancy shapes such as Oval, Marquise, Pear, Radiant and Cushion, the grades shown on a report do not tell the whole story of how the diamond will look face-up.

For us, the certificate is the starting point — not the final decision.

BİRKARAT DIAMOND PERFORMANCE

What is SEFF™?

Spread Efficiency Face-up Factor

BirKarat SEFF™ is our selection methodology for evaluating not only how much a diamond weighs, but how efficiently that carat weight translates into visible size and face-up beauty.

01VISIBLE SPREAD

Visible face-up size relative to carat weight.

02PROPORTIONS

Depth, table, crown and overall geometric balance.

03FACE-UP BALANCE

How balanced the diamond appears face-up.

04OPTICAL PERFORMANCE

Brilliance, fire, contrast and facet pattern.

05OUTLINE

Shape, shoulders and symmetry in fancy cuts.

06BOW-TIE CHARACTER

Center contrast in Oval, Marquise and Pear shapes.

THE QUESTION IS NOT ONLY“How many carats?”IT IS ALSO “How does that carat weight actually look?”

Why do we select only some diamonds from hundreds of certified stones?

Modern laboratory-grown diamond manufacturers can operate at enormous scale, and certification infrastructure has evolved alongside that volume.

As a result, the market can contain large numbers of properly graded diamonds with similar carat, color and clarity characteristics.

But being certified does not automatically mean being selected by BirKarat. We aim to choose diamonds that meet our own standards for proportions, visible spread, shape and optical performance.

LABORATORYGrades the diamond. BİRKARATSelects the diamond.

Conclusion

A report from IGI or another independent gemological laboratory is an important part of understanding a diamond. At BirKarat, however, the selection process does not end there.

The grading report tells us what the diamond is.
SEFF™ explains why we selected it.

Frequently Asked Questions

Is an IGI In-Factory report a different certificate?

No. “In-Factory” primarily describes an operational grading model integrated into a manufacturer's facility. BirKarat does not treat the grading location alone as a quality indicator.

Why can two IGI-certified diamonds look different?

Even with the same carat, color and clarity grades, measurements, depth, table, crown, length-to-width ratio, facet pattern, visible spread and bow-tie character can vary.

Is SEFF™ a gemological certificate?

No. SEFF™ is not an independent laboratory grading report. It is BirKarat's selection methodology for evaluating grading data, measurements, proportions and face-up appearance together.

Is certification alone enough for BirKarat to select a diamond?

No. Certification is the first screening and verification stage. BirKarat also evaluates visible spread, proportions, optical performance and overall face-up appearance.

Technical Disclosure

SEFF™ is not an independent gemological laboratory certificate and is not intended to replace grading systems provided by IGI, GIA, HRD or other independent laboratories. It is BirKarat's proprietary selection methodology for evaluating grading information, measurements, proportions and face-up appearance together.

References to “In-Factory Laboratories” are based on IGI's publicly available corporate and investor disclosures. BirKarat does not treat the physical grading location alone as either a positive or negative quality grade.

Sources

International Gemological Institute (IGI) — Diamond Grading Process
International Gemological Institute (IGI) — Laboratory Grown Diamond Reports
IGI Limited — Red Herring Prospectus (2024), including disclosures on In-Factory Laboratories, quality control and operational risks
IGI Limited — Annual Report 2024, SwiftCert and centralized operational governance

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