The trading of emeralds is, by modern standards, a convoluted process involving a long supply chain that can see a stone passing through as many as 10 hands before it reaches its end user. The market for emeralds is broken down into several tiers.<\/p>\n<\/div>
Tier A<\/strong>\u00a0\u2013 \u00a0Miners and first stage buyers of rough who sell to the following;<\/p>\n<\/div> Tier B<\/strong> \u2013 Buyers for buying groups, large brands (Tiffany, Bulgari etc.). Large transactions often exceeding US$10M are the norm. These traders usually buy all material they are offered, retaining the best qualities that offer the best margin for themselves and selling any excess or unwanted material at a small profit or even a small loss.<\/p>\n<\/div> Tier C<\/strong>\u00a0\u2013 Buyers for Collectors, selling to other dealers, and mid-sized retail stores. This group buys the highest of quality, generally, the rarest of material, sometimes too esoteric for Tier A, but commercially viable in the collector\/dealer network.<\/p>\n<\/div> Tier D-1<\/strong>\u00a0\u2013 Dealers that, while stocking high-end goods to support their status in the trade, also buy the mid-market commercial material. This material is more likely to be priced at levels aimed at a business with manufacturers and smaller retailers. Often these stones are more heavily treated to retain the look of more expensive goods while keeping costs down.<\/p>\n<\/div> Tier D-2<\/strong> –\u00a0Often \u2018one man bands\u2019 focusing on servicing a clientele of small to mid-sized retailers who do not have a bridge further up the chain or lack the trust or confidence to deal internationally.<\/p>\n<\/div> Tier E<\/strong> – Retail buyers, purchasing through dealers, shows, estate sellers (both commercial and private) and selling exclusively to the retail buyer.<\/p>\n<\/div> “In the last two years, emerald prices have seen the biggest increases when compared to other coloured gemstones, particularly when there is little or no oiling in the stone. There is no evidence to suggest that\u00a0this momentum is slowing”.<\/p>\n \u2013 Source: Graham Thompson – Director Bonhams Asia<\/em><\/p><\/h6><\/div><\/div><\/div>