This November, Gemfields proudly celebrates its 50th auction of Kagem emeralds, marking a significant milestone in the coloured gemstone industry.
As a world-leading miner of emeralds from Zambia’s Kagem mine and rubies from Mozambique’s Montepuez Ruby Mining (both majority owned and operated by Gemfields), the company transformed the international gemstone market with its pioneering auction process launched in 2009. This innovative approach brought transparency and a steady, reliable supply to an industry previously limited by inconsistent and fragmented availability. The introduction of a consistent supply allowed stakeholders throughout the supply chain to invest more confidently in Zambian emeralds.
Before the introduction of Gemfields’ auction system, the sale of rough coloured gemstones was irregular and unpredictable, much like the nature of gemstone deposits themselves. Coloured gemstones, including emeralds and rubies, are often discovered in remote locations, with their occurrence difficult to anticipate. Today, more than 100 varieties of coloured gemstones used in jewellery come from over 50 countries worldwide, each with distinct mining regulations, economic conditions, and cultural practices.
Gemfields’ vision to transform the coloured gemstone industry—beginning with emeralds and later rubies—has brought stability to a market that was once unpredictable. This approach has improved conditions in local communities, creating long-term skilled jobs in mining and support roles.
In 2009, Gemfields conducted its first auction of rough emeralds from the Kagem mine, offering 1.36 million carats of well graded rough Zambian emeralds to leading manufacturers from around the world. By 2024, Gemfields achieved a significant milestone, with the total cumulative revenue from its emerald auctions surpassing the USD 1 billion mark.
The appreciation for Zambian emeralds has also increased exponentially since the introduction of the auction system. Zambian emeralds are prized for their deep, rich green colour with bluish undertones, setting them apart from emeralds found in other regions. Known for their excellent clarity and durability, these emeralds often contain fewer inclusions than others, making them visually appealing and versatile for jewellery manufacture.
During auction preparation, a team of experts meticulously evaluates and categorises the emeralds based on factors such as colour, potential yield, shape, size and unique characteristics. These graded emeralds are then organised into schedules, which may include a single high-quality gemstone or several lots and offered to buyers at auction. The schedules are carefully designed to provide auction buyers with a range of rough emeralds suited for manufacturing, tailored to meet diverse market demands.
The auctions have evolved over time, but the core tender-style system has remained unchanged. Gemfields has actively adapted its approach to maintain a sustainable supply of gems in response to changing market conditions.
Most of these changes were driven by customer needs, shaped by meaningful discussions and the company’s understanding of the international market, while also responding to external factors such as the COVID pandemic.
Examples of these developments include extending the viewing period to give customers ample time to inspect the lots in a comfortable environment, and the introduction of an electronic bidding system. Transparency and maintaining customer confidence remain a top priority, and Gemfields has consistently excelled in this regard. Additionally, Gemfields places strong emphasis on Know Your Customer and due diligence practices, ensuring
that each gemstone continues its journey with reputable businesses.
Gemfields’ emerald auction customer demographic reveals a notable presence of Indian and Israeli buyers. Most of Gemfields’ Indian customers hail from Jaipur which has been a centre for emerald cutting for centuries, reflecting their deep cultural ties to the emerald market and their expertise in transforming rough gemstones into stunning cut gems, with skills often handed down through generations.
In recent years, the emerald auctions have attracted customers who traditionally focused on ruby and sapphire, recognising the opportunity to conveniently purchase high-quality rough emeralds, knowing they have been responsibly mined and backed by a system and company they can trust.
Previously seen as secondary to Colombian emeralds, Zambian cut gemstones now stand alongside their Colombian counterparts in several categories, often at comparable price points. As the market has evolved, greater emphasis is placed on the quality of the gemstones themselves, as well as the positive impact of their supply chains, allowing responsibly mined Zambian emeralds to flourish. Gemfields is proud to have played a
central role in this transformation.
Reflecting on the journey since that first auction 15 years ago, the success of Zambian emeralds would not have been possible without the vital and unwavering support of Gemfields’ customers.
Gemfields remains dedicated to nurturing these relationships while upholding its core values of transparency, legitimacy, and integrity. With deep gratitude, the Gemfields Group looks forward to welcoming its customers to the 50th Kagem emerald auction taking place this month.