Nanhong Agate (Liangshan Origin) Q2 2024 Market Analysis Report

Nanhong Agate (Liangshan Origin) Q2 2024 Market Analysis Report

Executive Summary: In the second quarter of 2024, the Liangshan Nanhong agate market generally showed a steady upward trend. Prices for high-quality rough stones and finished products remained strong, while trading activity for mid-to-low-end products increased. As market recognition of Nanhong's cultural value grows, the market is expected to maintain healthy development in the future.

I. Market Overview and Price Data

This quarter, the Liangshan Nanhong agate market exhibited significant stratification. Prices for high-quality (pure colors like persimmon red, brocade red, rose red, with strong gelatinous texture, no cracks or impurities) rough stones and carvings steadily increased, while ordinary quality (cherry red, flame patterns, with impurities or cracks) products gained market share through volume, with increased transaction activity.

* Rough Stone Price Range:
* High Quality (Persimmon Red, Brocade Red): 500 - 3000 CNY/gram, with some exceptional pieces exceeding 5000+ CNY/gram.
* Medium Quality (Rose Red, Ice Floats): 100 - 500 CNY/gram.
* Ordinary Quality (Cherry Red, Flame Patterns, with Impurities/Cracks): 20 - 100 CNY/gram.
* Finished Product Price Range (taking bracelets as an example):
* High Quality (10mm bead diameter, Persimmon Red, Brocade Red): 3000 - 15000 CNY/strand, with some exquisite pieces exceeding 30000+ CNY/strand.
* Medium Quality (10mm bead diameter, Rose Red, Ice Floats): 800 - 3000 CNY/strand.
* Ordinary Quality (10mm bead diameter, Cherry Red, Flame Patterns, with Impurities/Cracks): 200 - 800 CNY/strand.

* Price Fluctuations:
* High-Quality Rough Stones and Finished Products: Increased by 5% - 10% quarter-on-quarter, and 10% - 15% year-on-year.
* Medium-Quality Rough Stones and Finished Products: Increased by 2% - 5% quarter-on-quarter, and 5% - 8% year-on-year.
* Ordinary-Quality Rough Stones and Finished Products: Prices remained largely stable, with some categories showing a slight increase of 1% - 3%.
* Trading Volume:
* High-Quality Products: Trading volume remained stable, with a slight increase of 3% - 5%.
* Mid-to-Low-Quality Products: Trading volume increased significantly by 8% - 12%, indicating enhanced market activity.

II. Market Trend Analysis and Forecast

• Quality Reigns Supreme, Scarcity of Fine Products Highlighted: Market demand for high-quality Nanhong continues to heat up. Natural, unenhanced, pure-colored, and finely textured Nanhong resources are increasingly scarce. Their value will continue to be recognized and driven up by the market. Prices for high-quality Nanhong are expected to continue rising.


• Cultural Attributes Empowering, Collection Value Enhanced: With the popularization of Nanhong agate's historical and cultural value, more collectors and investors are paying attention to Nanhong. Art-grade Nanhong with unique meanings and exquisite craftsmanship will further unleash its collection value and investment potential.


• Consumption Upgrade, Strong Demand in Mid-Range Market: As national consumption levels rise, consumer demand for mid-range Nanhong products continues to grow. These products offer both aesthetic appeal and cost-effectiveness, making them the main force in market transactions. The mid-range market is expected to remain active, with prices steadily increasing.


• Growing Influence of E-commerce Platforms: Online live streaming, short videos, and other e-commerce platforms have become important channels for Nanhong transactions, expanding market reach and accelerating price transparency. The proportion of online transactions will continue to increase, complementing and competing with traditional offline markets.


• Resource Exploitation and Policy Impact: Resources in the Liangshan Nanhong producing area are increasingly depleted, coupled with strict government control over mining, leading to tighter rough stone supply. This will be an important factor supporting the long-term price increase of Nanhong.

III. Price Comparison of Different Quality Grades

| Quality Grade | Color Characteristics | Texture Characteristics | Common Uses | Rough Stone Price (CNY/gram) | Finished Product Price (10mm bracelet, CNY/strand) |
| :------------ | :-------------------- | :-------------------- | :---------- | :--------------------------- | :---------------------------------- |
| Brocade Red/Persimmon Red | Pure and vibrant, high saturation | Strong gelatinous feel, warm and delicate, no cracks or impurities | Collector-grade carvings, high-end bead strands | 500 - 3000+ | 3000 - 15000+ |
| Rose Red | Slightly purplish, even color | Good gelatinous feel, few cracks or impurities | Fine bead strands, mid-to-high-end carvings | 100 - 500 | 800 - 3000 |
| Ice Floats/Flame Patterns | Distinct red and white, unique patterns | More translucent parts, or unique patterns | Specialty bead strands, creative carvings | 50 - 200 | 500 - 1500 |
| Cherry Red | Lighter color, or color variations | Slightly watery texture, possibly micro-cracks | Popular bead strands, entry-level jewelry | 20 - 100 | 200 - 800 |
| With Impurities/Cracks | Uneven color, obvious impurities or cracks | General texture, affecting aesthetics and integrity | Scraps, practice carving, low-end jewelry | 5 - 20 | 50 - 200 |

IV. Investment Recommendations

• Focus on High-Quality Fine Products: For long-term investors, prioritize Nanhong of pure color, warm texture, and no cracks or impurities, such as brocade red and persimmon red. These products possess scarcity and cultural value, offering the greatest potential for preservation and appreciation.


• Pay Attention to Carving and Subject Matter: Exquisite carving craftsmanship can endow Nanhong with higher artistic value. Choosing Nanhong works with auspicious themes, profound meanings, and fine carving will enhance their collection and investment value.


• Note Origin and Authentication: Liangshan Nanhong is highly sought after for its unique gelatinous feel and color. When purchasing, be sure to confirm the origin and seek assistance from professional appraisal institutions to guard against counterfeit products.


• Mid-to-Long-Term Holding Strategy: Nanhong agate, as a non-renewable resource, its value will gradually emerge over time. A mid-to-long-term holding strategy is recommended, avoiding short-term speculation.


• Reasonable Allocation, Diversify Risks: Investors can reasonably allocate Nanhong products of different quality grades according to their financial situation to diversify investment risks. At the same time, pay attention to market dynamics and adjust investment portfolios as appropriate.

Disclaimer: This report is based on current market data and trend analysis, for reference only, and does not constitute any investment advice. Investors should make independent judgments and prudent decisions.