Emerald price continue to rise
Bogota may 2015 emerald prices continue to rise
Prices for wholesale Colombian emeralds have continued increasing into 2015, showing no signs of slowing anytime soon. Analysts were predicting a 30% rise however market sources put this figure closer to 60%.
In a recent interview, Bogota broker Orlando Beltran said ‘I’ve been in this business 35 years and I’ve never seen anything like it, it’s as if when the old man died so did the stones and prices just keep rising’ making reference to the death of emerald tzar Victor Carranza in 2013.
Formerly the world’s biggest producer of the green gemstones, Colombia has slipped behind Zambia and Brazil in recent years as its aging mines lack investment in new machinery, according to Oscar Baquero, the head of the country’s emerald federation ‘Fedesmeraldas’.
Open pit mining is forbidden, and the only ongoing exploitation is in tunnels and shafts mined by dynamite and electric hammer, a process which has changed little over the last 60 years.
Colombia’s total emerald output in 2014 was 2 million carats, a decline of -25% from 2013
According to Fedesmeraldas, emerald exports in the ﬁrst quarter 2015 have plunged, falling 15% in January and an incredible 26.8% in February. This is due to the production issues mentioned above but largely because of new government legislation which seeks to record every step of an emerald’s journey beginning with the mine of origin and the individuals supplying the stones through to the cutting and polishing.
The aim of this exercise is to provide the government with greater transparency and of course additional tax revenue, every individual or company in the chain must demonstrate that taxes have been paid in order for stones to leave the country. As a result export costs have doubled.
“ Fine and extra fine quality stones are so rare that rpeices in excess of $50,000 -$100,000 per carat are not uncommon. ”
The value of emeralds stems, in part, from their scarcity: they are over 20 times rarer than diamonds, a consequence of the extraordinary conditions required to create them. Fine and extra ﬁne quality stones are so rare that prices in excess of $50,000 -$100,000 per carat are not uncommon.
RECORD AUCTION RESULTS
Bonhams London ﬁrst ﬁne jewellery sale of 2015, held on April 22, 2015, clearly demonstrated an increase in demand for coloured gemstones with ﬁerce bidding taking place in the saleroom, on the telephone and online, from buyers across the globe.The auction house had tracked a signiﬁcant increase in the price-per-carat achieved for coloured gemstones in its auctions over the last decade, culminating in the dramatic sale prices
achieved by colored gemstone lots at its London ﬁrst ﬁne jewelry sale for this year, some lots selling for as high as 7 times the pre-sale estimate. The auction house believes the trend will continue during the year 2015, and has proclaimed 2015 as the year of the coloured gemstone.