ISLAMABAD – Chinese consumers are increasingly interested in Pakistani colored gemstones, China Economic Net (CEN) reported on Tuesday.
The 2024 Beijing International Gold, Jewellery, and Gemstone Exhibition concluded on June 3 at the Beijing Exhibition Centre. Exhibitors from major Chinese cities like Beijing, Shanghai, Shenzhen, and Guangzhou, as well as international jewellers, participated in the event.
Chinese consumers displayed consistent enthusiasm for gold, jade, pearls, and other precious items. Notably, there was significant interest in colored gemstones, particularly at the booths of exhibitors from Pakistan and Sri Lanka.
“The quality of colored gemstones from Pakistan and Sri Lanka caught my eye, so I stopped to ask about the prices. I might find something good to buy,” a consumer shared with the reporter.
In 2023, the total import and export value of China’s jewellery industry reached a record high of $145.334 billion, an 8.62% increase year-on-year. Chinese consumers have a strong interest in gold and silver jewellery products for both their aesthetic and investment value.
Pakistan’s exports of gems and precious stones to China increased by 47 percent in 2023, indicating growing recognition of the quality of Pakistani gemstones among Chinese buyers. Despite fluctuations in sales in recent years due to various factors, the market is now recovering.
“Although sales have fluctuated in the past few years due to various factors, the market is now recovering, and I am very confident,” Muhammad Amjad told the reporter.
Since 2023, demand for colored gemstones in China has been steadily expanding, supplementing the traditional safe-haven asset of gold. According to market research by the China Gems and Jade Association (Beijing) Fund Management Co, the average price increase for colored gemstones across all categories in China during the first half of 2023 ranged between 30% and 50%.
In Peshawar’s gemstone market, family businesses have been around for a century. However, it is difficult for outsiders to enter the market, and doing business there is not easy for foreigners. Pakistan’s gem certification institutions are not aligned with international standards, and some certification documents are not recognized. This presents a missed opportunity.
China, as Pakistan’s strategic partner, has a thriving and growing market for colored gemstones. Pakistan, with its diverse geological conditions, is rich in high-quality natural-colored gemstones. However, the two countries have not fully leveraged their friendly relations to explore the potential of this industry.
Currently, a few Pakistani companies with stable cash flow, gemstone resources, and professional design teams have the necessary conditions to enter the Chinese market. In contrast, Peshawar-based traders, who rely on bulk sales, face numerous challenges in establishing deeper cooperation with China.
Muhammad Amjad, a brand jeweller, highlighted some issues: “One problem is that Pakistan lacks effective advertising methods. Chinese businessmen use short video platforms like TikTok and Kuaishou to promote their brands or unique national gemstones, leaving a lasting impression on consumers and even driving up product prices. In contrast, we can only wait in Peshawar for buyers from other countries.”
He added that lacking product visibility hampers sales, especially for goods with financial attributes, but visibility must be predicated on quality. “Secondly, we urgently need to establish a gem certification institution that meets international standards.”
Abdul Ahad, a gem trader in Azad Market Namak Mandi, pointed out key issues: “One major issue is payment; many of our clients prefer PayPal, which is not available in Pakistan. Another issue is the lack of DHL branches, leading to slow shipping times of 15-20 days, despite using DHL’s name.”
Another pressing challenge is gemstone cutting. High-quality cutting significantly enhances the value of gemstones, yet Pakistan’s gemstone cutting sector remains underdeveloped.
Two weeks ago, Prime Minister Shehbaz Sharif emphasized the need to develop the country’s gems and precious stones sector, urging authorities to take steps to grant it the status of an industry.
Under the China-Pakistan Economic Corridor (CPEC) trade bridge, the exchange of technology and equipment is inevitable. Colored gemstones could potentially become a cornerstone of Pakistan’s economic revitalization, CEN added.
