How To Learn About Gemstone Pricing

Gem trade shows are excellent venues to get a feel for prices. Gems and jewelry can also be purchased at international auction houses such as the Christie's, Philips, Sotheby's, etc, but participation requires knowledge, special skills and a lot of money. Most gem shows specify in advance whether or not they are exclusively for the jewelry trade.

- If designated 'trade only', prices are generally at the wholesale level.
- If open to the public, prices are often lower than retail, but not at a wholesale level.

In order to get into a trade-only show, one must have some form of identification (e.g., a business card with connections to the jewelry trade or some other proof that you are in the gem trade). For some fairs, a business card alone is not sufficient, and your company may have to be listed and rated in a trade directory for that particular country.

At the Tucson show, exhibitions and seminars take place simultaneously across the whole city, making it the largest colored stone show in the world. Nearly every hotel in the city has a gem show in their convention halls, as well as dealers selling gems and jewelry from their hotel rooms. Other important shows include the Bangkok Gem & Jewelry show, the Hong Kong show, Basel Fair (Switzerland) and the JCK show (USA). Such trade shows are an excellent way to learn about the market, both in terms of pricing, as well as designs and industry trends.

At most trade shows, you will encounter a wide range of goods of all qualities. A common misconception is that rubies are always more valuable than the more readily available stones, such as tourmaline, garnet or topaz. If you spend enough time looking around the shows, you will find this is not always true. A poor-quality ruby is a poor-quality ruby, and a fine-quality rubellite tourmaline or tsavorite garnet will certainly be worth considerably more. Quality is the decisive factor, not just the particular type of gem.

There are two main ways for the novice to learn about colored stone pricing. The first, and perhaps best, is to visit as many gem wholesalers as possible. Wholesalers may be visited at trade shows or via appointments at their offices. During these visits, be sure to take mental notes on the prices of selected goods (blue sapphire, ruby or whatever happens to interest you). As you move from one wholesaler to another, try to compare prices of the same relative size and quality, in order to develop a feel for the current price range of those items. The key word here is 'range'. Three or four wholesalers may offer 1 ct medium-quality sapphires or rubies at similar prices, but it is unlikely that their prices will be exactly the same (for instance, one dealer might have contacts with a particular mine or rough dealer).

Trade publications such as the Guide (USA) and Rapaport (USA) may provide information on prices for colored stones and diamonds. As you collect and sort this information, be aware that it is subject to change over periods of years, months, or even weeks, depending on market trends or supply and demand.