Industry Observation
In the first half of 2024, the global gemstone market presented a complex yet vibrant picture, influenced by a confluence of factors. According to the latest report released by the International Confederation of Jewellery, Silverware, Diamonds and Stones (CIBJO), global gemstone sales increased by 6.8% year-on-year, reaching approximately $45 billion. This growth was primarily driven by the sustained strong demand for high-end colored gemstones in Asian markets, particularly China and India, as well as the increasing preference for sustainable and traceable gemstones in the North American market.
Colored Gemstones: The Rise of a Market Darling
Among all types of gemstones, colored gemstones were undoubtedly the brightest segment in the first half of the year. Prices for rubies from Mogok in Myanmar, emeralds from Colombia, and sapphires from Sri Lanka all saw varying degrees of increase. Top-quality unheated 'Pigeon's Blood' rubies and 'Royal Blue' sapphires set new records for per-carat prices. For instance, at the Sotheby's Hong Kong Spring Auction in May, an 8.08-carat unheated 'Pigeon's Blood' ruby ring from Myanmar sold for $12.8 million, significantly exceeding its estimate, showcasing the market's pursuit of rare, high-quality colored gemstones. Dr. Gaetano Cavalieri, President of CIBJO, stated: "Consumers' pursuit of uniqueness and personalization is shifting their focus from traditional diamonds to vibrantly colored natural gemstones."
Diamond Market: Structural Adjustments Under Lab-Grown Diamond Impact
In contrast to the fervor for colored gemstones, the natural diamond market faced more severe challenges, especially from the impact of lab-grown diamonds. According to the 'Global Diamond Industry Report Mid-Year Update 2024' released by Bain & Company, natural rough diamond prices fell by approximately 15% year-on-year in the first half of the year, with polished diamond prices also experiencing a slight decline. However, the lab-grown diamond market grew against the trend, with sales increasing by nearly 25% year-on-year. Consumers' emphasis on cost-effectiveness and environmental concepts has allowed lab-grown diamonds to capture a larger market share in the wedding ring and fashion jewelry sectors. Al Cook, CEO of De Beers Group, recently stated at an industry conference: "The natural diamond industry must re-evaluate its value proposition and strengthen its promotion of origin traceability and sustainable mining to counter the competition from lab-grown diamonds."
Supply Chain: Transparency and Sustainability as Key Keywords
In the first half of 2024, transparency and sustainability in the gemstone supply chain became focal points for the industry. The EU and the US successively introduced stricter import regulations, requiring gemstone suppliers to provide more detailed proof of origin and mining compliance reports. For example, the Gemological Institute of America (GIA) launched a new 'Gemstone Origin and Traceability Service' to provide consumers with complete traceability information from mine to market. This not only enhanced consumer trust but also prompted mining companies and traders to increase their investment in environmental and social responsibility. The Kagem Emerald Mine in Zambia is a successful example, having gained widespread international recognition by collaborating with local communities, improving worker welfare, and implementing environmental restoration projects.
Outlook for H2: Opportunities and Challenges Coexist
Looking ahead to the second half of 2024, the global gemstone market is expected to maintain steady growth, but structural adjustments will continue to deepen. Emerging markets such as China and India will remain the main engines of growth, while North American and European markets will place greater emphasis on product added value and brand stories. Geopolitical uncertainties, global economic inflationary pressures, and rapidly changing consumer preferences remain risk factors that the industry needs to monitor closely. However, with technological advancements (such as the application of blockchain in traceability) and continuous improvement of industry standards, the gemstone market is expected to usher in a more transparent, sustainable, and diversified new era.