Myanmar Jadeite Rough Supply Continues to Tighten, High-End Market Prices Reach New Peaks
【Yangon/Beijing】 In March 2024, the global jadeite rough market continued to exhibit a supply-demand imbalance. Particularly affected by adjustments in mining policies and geopolitical factors in major mining areas in Myanmar, the supply of high-quality jadeite rough has further shrunk. According to the latest market data, prices for high-end ice-jade and glass-jade rough saw significant increases this month, with some rare categories even reaching new highs not seen in nearly a decade. In contrast, the mid-to-low-end market showed relatively stable price ranges.
Supply-Side Pressure Mounts, Scarcity of High-End Rough Intensifies
Myanmar, as the world's primary source of jadeite rough, directly dictates international market price trends. Recently, the Myanmar government has continuously strengthened its supervision over mining operations, and some mining areas have experienced temporary shutdowns due to safety concerns, leading to a sharp decrease in the quantity of high-quality rough entering the market. According to industry insiders, the total volume of high-quality jadeite rough exported through official channels from Myanmar in the first quarter of this year decreased by approximately 15% year-on-year, undoubtedly adding significant pressure to an already tight market.
“The scarcity of high-end jadeite is being infinitely amplified,” noted Professor Li Ming, Vice President of the Gems & Jewelry Trade Association of China and a senior jadeite appraisal expert. “Top-tier rough like ice-jade and glass-jade takes an extremely long time to form and is incredibly difficult to mine. Under current mining technologies and geological conditions, the frequency of discovering high-quality veins is decreasing year by year. Coupled with international capital's pursuit of rare resources, the prices of these top-tier materials have virtually no ceiling.”
Data indicates that in March, the average transaction price for high-quality ice-jade rough increased by approximately 8%-12% month-on-month, with glass-jade seeing an even higher surge of 10%-15%. In contrast, prices for mid-to-low-end jadeite rough, such as glutinous-jade and bean-jade, experienced relatively minor fluctuations, with increases kept within 2%-5%. Some lower-grade rough even faced situations where prices were offered but no buyers were found.
Robust Market Demand, Investment and Collection Value Highlighted
Despite persistent supply shortages, global demand for jadeite remains strong, especially in Asia, where jadeite is not only an ornament but also considered a hard currency with cultural heritage and investment value. Amid increasing economic uncertainties, the value preservation and appreciation attributes of high-quality jadeite have attracted a large number of investors and collectors.
“In the current market, high-quality jadeite has transcended the category of simple consumer goods; it is more akin to a work of art and a rare asset,” stated Ms. Chen Huimin, a senior consultant at Christie's Hong Kong Jewelry Department. “We have observed that even during economic downturns, prices for top-tier jadeite remain firm, even rising against the trend. This reflects the market's consensus on the value of scarce resources.”
Statistics show that over the past year, the total transaction value of global high-end jadeite auctions increased by approximately 6% year-on-year, with an increase in the number of lots exceeding one million US dollars. This indicates that driven by the demand for capital preservation and asset allocation, the high-end jadeite market continues to maintain strong purchasing power.
Industry Outlook: Structural Differentiation to Persist, Innovation and Traceability as Future Trends
Looking ahead, the structural differentiation within the jadeite rough market is expected to intensify. High-end rough, due to its non-renewable nature and cultural attributes, will continue to command high prices, possibly even climbing further. The mid-to-low-end market, however, may face greater competitive pressure, with more frequent price fluctuations.
“For the industry, how to enhance the added value of mid-to-low-end jadeite through design innovation and craftsmanship improvement, given limited resources, will be crucial for future development,” Professor Li Ming suggested. “Simultaneously, establishing a robust traceability system for jadeite rough to ensure transparency and fairness in transactions will also be vital for building consumer trust and promoting healthy industry growth.”
With technological advancements, more jadeite appraisal and evaluation technologies based on big data and artificial intelligence may emerge in the future, which will help regulate the market and reduce information asymmetry. However, in the foreseeable future, the scarcity of Myanmar jadeite will remain the core factor dominating market prices, and its investment and collection value will continue to attract attention.