First half-year

As expected the first half of 2011 was rather good.
Moving to our new premises obviously was the right thing do do.

The new office cum workshop is more spacious and the fact that we moved from ground floor to third floor means increased safety and confidentiality for our customers (and ourselves).

Demand for fine coloured gems is still strong.

With Rubies we note a continuing trend to fine and top qualities.
In particular oval stones of one to two carats are sought after. Unfortunately the supply situation is somewhat strained. The production of Burma Ruby is dwindling and obviously Winza, Tanzania, does not yield any Rubies any more, at least for the time being.

So it is with great interest that we follow Gemfields´ activities in Mocambique´s Montepuez Ruby deposit. Read more.

Blue Sapphire: demand and supply seem to be stable and on a rather high level.

Emerald: there is mounting evidence for an upswing. Read our articles "Emerald Markets in Motion" and "Emerald & Ruby News".

Demand for Tanzanite has grown slightly, which is hardly surprising, considering the very low prices as compared to before the start of the financial crisis in October 2008.

With small rounds used for pavée and cluster settings we note a shift of attention. Until about a year ago we sold unproportionally many rare Garnets like Tsavorite, Demantoid, Mandarin and Spessartite. Now classic gems like Ruby and Sapphire are in focus (again). Interestingly enough, with (small round) sapphires - we sell more purples and pinks than blues.

For the second half of 2011 we expect a rise in demand, as well as prices, for good to excellent emeralds.

How ruby prices will develop is anyone´s guess. At the time of writing we witness rising prices on the Bangkok market due to declining supplies from Burma.
If and how the fact that Gemfields´ entered the stage will influence Ruby prices remains to be seen.
On the one hand a significant increase of supplies could slacken the current tensions.
On the other hand high demand from the USA, which have banned all imports of Burma Rubies as of June 2008, might keep prices aloft.

We will closely watch the market and keep you posted here and via our newsletter.