Zambia’s new emerald restrictions bad, 7 buyers fail to make it

LUSAKA — A lack of buyers at a Zambian emerald auction on Tuesday raised doubt about the government’s recent and controversial decision to ban foreign sales of the gems.

Twenty-four of 31 Indian gemstone companies turned up to an auction in Lusaka, amid complaints from buyers that hosting auctions in the Zambian capital is impractical.

Zambia last week banned the selling of its gemstones abroad, a move the government said was meant to protect the country from unscrupulous buyers and keep gem wealth in the country.

“Zambian gemstones have for a long time been sold on foreign markets, a situation that has contributed to capital flight and denied Zambians the much-needed benefits from the resource,” the country’s mines ministry said.

That irked organiser Gemfields, which is part-owned by the Zambian government. Gemfields has warned the decision will prevent producers from getting top dollar for the stones.

“We had invited 31 companies and seven will not make it, which means that only 24 will attend,” Gemfields executive director Sean Gilbertson said.

Gemfields controls most of the country’s production.

“These companies are coming from India and to travel from there to here takes about 24 hours,” he said.

“As you know Zambia is the third-largest producer of emeralds and such a restriction would have seriously affected the growth of the emerald industry,” he said.

An Indian investor, Jagdish Tambi, who runs KL Tambi which produces tanzanite and emeralds, also complained the auction would not take place closer to India, where many buyers are from.

“We are not happy about this thing, I had to change three flights and the whole journey takes about 24 hours,” he said.

“It was going to be fair if the auctioning was held in Singapore or Johannesburg and not here. Besides the travel complication, there are some local traders pushing us to see their products and that is confusing,” Mr Tambi said.

The auction will close on Friday.

Sapa-AFP

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68 Responses to "Zambia’s new emerald restrictions bad, 7 buyers fail to make it"

  1. Mau Mau  April 18, 2013 at 09:22

    GOVT SHOULD NOT GIVE IN TO BLACKMAIL WHATS THE DIFFERENCE OF HOSTING THE AUCTION IN JOHANNESBURG OR SINGEPORE. LETS NOT FORGET THAT WE ARE DEALING WITH A WELL ORGANISED CARTEL WHICH WILL DO EVERYTHIG TO FRUSTRATE OUR EFFORTS TO EARN FOREX FROM EMERALDS RESOURCES.EVEN COMPLAINTS FROM GEMFILED CEO SEAN GILBERTSON IS NOTHING BUT PART OF THE CARTEL. THE MAN IS AN INTERESTED PARTY. AUCTIONS SHOULD ALWAYS BE HELD LOCALY SO THAT WE BUILD LOCAL CAPACITY IN TERMS OF AUCTIONING. WE MAY SUFFER SETBACKS HERE AND THERE BUT IN FUTURE IT WILL WORK OUT TO THE BENEFITS OF OUR ECONOMY.IF HERE ARE NO BUYERS THEN LETS KEEP OUR GEMS IN BANK VAULTS IT WILL NOT ROT LIKE TOMATOES.

  2. Mwana  April 18, 2013 at 01:48

    I am not PF but on this one bravo boma!

    • Homestead Musambachime  April 18, 2013 at 05:00

      Have you been to proper school? Have you had adequate education? Did you go through education by leakage?

  3. Nummy  April 17, 2013 at 21:32

    This is the first auction that has taken place locally in a long time. You do not expect 100% attendance the first time. This time it is okay to sell the stones for a slightly lower value. And these companies that say it is difficult to travel are being ridiculous. South Africa is further away than Zambia. I am an Indian of Zambian origin and I know how these Indians want to get everything in the cheapest way possible. We will benefit way more from the sale of emeralds this way.

    • diramba  April 17, 2013 at 21:58

      Stones never rot,we shall kep them,they can go buy elsewhere.We dont need criminal customers

  4. Sacks Ngwele  April 17, 2013 at 20:26

    Nonsense, they must come to buy from here. We follow them when we need to buy from them, don’t we?

  5. Puungwa  April 17, 2013 at 20:01

    Why did they invite only indians,already i smell a cartel to rig prices.The government should engage sothebys of london to handle the auctions here or in newyork.

    • bemba bitch  April 17, 2013 at 21:40

      indians have always made 90 percent of gemston buying bcoz most of it is used fir religous purposes. second indians sell it off easily in bollywood n neghbouring adian tigers where people have money.

  6. scree  April 17, 2013 at 19:38

    The 7 who did not make dont just have the money..attendance is by INVITATION so sometimes you get invited at wrong TIME…we know this industry..on this one iam with PF though Iam not PF myself

  7. Ngoza again  April 17, 2013 at 18:57

    Gunassi’s cohorts need to be checked and stopped in their schemes to smuggle our stones and deprive us the owners of gemstones. Its long over due bagaeso!

  8. The voice of reason  April 17, 2013 at 18:24

    Good move by Goverment. 24 out of 31 is good turn out by any measure. At least they will pay some hotel bills here and maybe visit chaminuka. Most importantly we shall know the real value of our export. Lets not complain anyhow

  9. Observer  April 17, 2013 at 18:17

    Good move. These “bankers” with a”w” are able to under declare revenues when they sell outside resulting in lower taxes to government, if any. In the Lusaka auction DEC, ACC , ZRA are in attendance making sure everyone plays by the rules. Wapya munzi !

  10. Blind Supporter  April 17, 2013 at 17:56

    sell gemstones to locals for kwacha …….then what ?????

    I thought the most economical way is to sell them outside the country for Forex ! (total display of ignorance and lack of policy on national wealth – learn from countries like Botswana how they manage their more precious mineral than gems for their country’s wealth – they don’t sell inside they sell outside 4value).

    I cant really understand such extreme dullness of the PF, playing with national wealth like that while while its own poor people are suffering where even water is a challenger to have ! (those are big dollars for crying out loud if sold outside).

    • chandizo  April 17, 2013 at 18:06

      Last year Botswana also localised the sale of her diamonds.

      • cadre  April 17, 2013 at 19:42

        you should also localize the sale of copper ! how different is it from gems

      • Francis  April 17, 2013 at 19:51

        Localise also the sale of copper ! whats the difference with gems

  11. Observer  April 17, 2013 at 16:03

    We havent been benefiting anyway, so why the fuss. It just shows that the previous system was not in our favour. Besides evrytime a new system is intruduced, it takes time to mature. With time this will be a very beneficial thing. Good work government.

    • Martin  April 17, 2013 at 16:59

      Is this how the Gold held by DEC was sold by Aaron Zulu?

  12. john  April 17, 2013 at 15:38

    ZWD is not thinking rationally, this is a good move by govt. it was only the other day you wrote some silly article about “sacrifise”. We are watching you also.

  13. Fred  April 17, 2013 at 15:32

    Can I suggest that people do some research before commenting please? Lusaka can host host a grand slam golf or tennis tournament. Lusaka can host a World Cup soccer final, the oscars and the Grammys. The question is how many people that really matter would come and attend and how much money would be raised for Zambia? Think, countrymen and women please?

    • Fred  April 17, 2013 at 15:39

      PF intentions are almost always good. Manje, consultation, execution, implementation?……awe sure, PF for sure, as in Poor Finishing!

    • NOTONGA4PRESIDO  April 17, 2013 at 15:39

      what are you trying to say ‘Mr. I Know it all’? if you not proud of your country, fcuk off & if you not proud of your fcukin self, die! simple…

      • Fred  April 17, 2013 at 15:46

        Thanks chief insulting officer (CIO), all you know are insults, all I have is an opinion. Only God knows it all. Lets debate, insults will not take us anywhere.

      • Chitimukulu  April 17, 2013 at 15:52

        So your name is No tonga for presido? from zambia? What a name and what a statement. God save Zambia!

  14. Joe The Plumber  April 17, 2013 at 15:31

    We control demand, next time it will be finished products only fuck off Indians. Its about time. People have we noticed how many times we keep saying this and that project was started by MMD and PF is only finishing they should not take credit. That is bullshit PF is a finisher and work oriented. It takes clout to make tough decisions that matter and not just preaching and preaching about empowerment. Emeralds are just that …precious…why should some flat ass Indian not book and connect three planes and come to Zambia. Lets expand the market , the Chinese will buy them . I am rejoining PF, for now.

  15. Al - Capone  April 17, 2013 at 15:01

    Those who need the Emeralds will come to Zed and the opposite is true.

  16. The Crossed-Eyed Assasin  April 17, 2013 at 14:57

    ZWD, your heading is alarming for nothing. If only 7 had turned up out of 31 invited, then it would have made sense but 24 came, saw and bought. This means our product has value and is in demand. Stop being negative on everything PF, even a talkative mad man says something sensible once in a while.

    • chandizo  April 17, 2013 at 18:13

      In fact Zambia’s emaralds are the best in the world.It’s just a matter of time,more buyers will come next time otherwise 24 out of 31 buyers is not bad.

  17. mebzo  April 17, 2013 at 14:57

    efyo twalefwaya. if u chi ma indian u do not want do not come nest tym. viva grz

  18. tut  April 17, 2013 at 14:53

    24 out of 31 is practically 80% attendance. Thats good attendance really, stop being alarmist.

  19. tonto fever  April 17, 2013 at 14:50

    Also like the idea the government put in place. Viva pf.

  20. ZAMBIAN CASSANDRA  April 17, 2013 at 14:48

    WHAT IS THE OVERSEAS COST TO GEMFIELDS AND OTHERS IN TRANSPORTING AND INSURANCE etc ??
    THE MOVE WAS LONG OVERDUE.
    SOON ZAMBIA WILL BE KNOWN FOR MARKETING EMERALDS.

    • dial  April 17, 2013 at 15:07

      This is not about GEMFIELDS, you dull backward people. This is about the buyers making it to the market. Already you have lost 7 buyers, being an auction means that the remaining 24 will dictate an even lower price for your emerald. On the other hand, selling your emeralds abroad means that you have more buyers competing, hence higher price. But ofcourse, you zambians still live in stone age, using bow-and-arrow to hunt anumals…too backward to understand economics.

      • NOTONGA4PRESIDO  April 17, 2013 at 15:36

        shut the fcuk up! but who tells you that bidders wants to buy at a higher price? ever heard of a word called ‘reserve price’? they are complaining about something else….this is a plus to PF….by end of next year, PF will need no introduction to voters all over Zambia…lets go!!

        • dial  April 17, 2013 at 17:36

          Who cares about you, monkey! What do you know about economics? Who is talking about PF, here? – Or were you just waiting for me to say something so that you w.a.n.k over my words!! Don’t start what you can’t finish, yellow-bellied, halitotic, corn-headed, head-in-ahole,toilet-cleaning, slime!

          • Ntabafye  April 17, 2013 at 17:54

            why are u insultin? ur comments re great bt……..

          • NOTONGA4PRESIDO  April 17, 2013 at 18:20

            mr. scam bag a.k.a dick face….calm down! yes i don’t know much about economics but a great deal about procurement coz thats what feeds my family….if you are an economist, i am willing to bet my blackass that you bought your certificate from Soweto going by your sense of reasoning exhibited here….kafele kutali galu iwe!

  21. MULOJHII MWEEMBA  April 17, 2013 at 14:40

    GOOD MOVE.KEEP IT UP

  22. ftj  April 17, 2013 at 14:37

    i am with the governmenton ON this one.thumbs up PF

    • tonto fever  April 17, 2013 at 14:46

      Also like the idea the government put in place. Viva pf.

  23. brasho  April 17, 2013 at 14:35

    ZWD, how can u call 77% a raising of doubt.
    These people need the emeralds so they will come to buy
    Kwasila

  24. Goldiga  April 17, 2013 at 14:22

    AM SELLING SOME BUT NO PAPERS. CHEAP, I WANT TO BUY A TOYOTA CORROLA

  25. isaac  April 17, 2013 at 14:22

    CONSIDERING OTHER RELATED COSTS ZAMBIA STANDS TO BENEFIT A PART FROM EMERALD ITSELF;TRANSPORT,FOOD,ACCOMODATION AND OTHERS

  26. Kajimang  April 17, 2013 at 14:08

    24 OUT OF 31 TURNED THIS GIVES 77% TURN OUT. THIS IS FANTASTIC ESPECILALLY THAT THIS IS THE FIRST AUCTION. THE DEALERS WILL MAKE SAVINGS IN TERMS OF FLIGHT, LODGING AND OTHER LOGISTICS INCLUDING DOING AWAY WITH THE ASSOCIATED RISKS. SO FOR ME THE DEALERS WILL START MAKING SUPPERPROFITS WHICH IS GOOD FOR ZAMBIA. CHEERS PF

    • X.dot  April 17, 2013 at 14:25

      @ Kajimang, i want to agree with u on this one, i dont wana speculate unknown losses here. Can ZWD tell us how much these stones cost in those countries and how much they were sold here, lets do a cost/benefit here rather than just opposing any move made by MCS…Moreover there are economic spillovers that Zambians will enjoy from this!!!

    • Ka-Mbewa  April 17, 2013 at 16:32

      I think the dealers may not really make super profits. But it s a good move, only we can not reap the fruits now. Lets give it time and lets hope the next auction wont have a 54% from 77%.

      So far only the buyers are complaining so the question is why are the dealers queit. They may be complaining but it may be not easy for them to speak out now.

      Lets just wait and see. All in all i say thumbs up gvmt

  27. Blaxon  April 17, 2013 at 14:01

    Good move.
    Those who don’t want our quality gems can fuck off to india.

  28. wenye  April 17, 2013 at 13:47

    Good move for Zambia, its for the customer to follow the products and not the supplier, there are a lot of customers for these Gems. Blavo PF

  29. Editor in chief  April 17, 2013 at 13:44

    Well done to the Government for this brilliant move.

  30. mwamba mutale  April 17, 2013 at 13:40

    Let them come here or else let’s keep our emeralds. The monsters have been stealing for years and its time to seal loop hoes. VIVA PF!

  31. Chumbu Munshululwa  April 17, 2013 at 13:29

    What do you expect from bamwenye; the damn dreaded shop-keepers? They want us to dance to their music? No way Zambia, that’s the way to do it. Sooner than later, hundreds of buyers from all over the World will be flocking to Zambia especially once the international Market is starved. Go Zambia, Goooo…..

  32. jill  April 17, 2013 at 13:19

    Its good for Zambia. 31 out of 24 is not bad. after all these visitors bring in foreign exchange into our country cause they have to buy our food, accomodation, transport etc.

  33. demanddriven  April 17, 2013 at 13:14

    Two hour from Jburg to Zambia.Umpafiwe aulwa ne cibi

  34. demanddriven  April 17, 2013 at 13:10

    They are just politicking.For us long us they need the emaralds they will come.They indian chap is colliding with the buyers so that the law can be reversed.They fail we will store for future consumption.Let not dance to thier gallary they should instead.

  35. Fwebamano  April 17, 2013 at 13:06

    WHERE IS GARRY NKOMBO MWEBANTU? BUT PRISON IS A VERY GOOD LESSON. IT EVEN MAKES TALKATIVE PEOPLE LESS TALKATIVE.

  36. KIDMAN  April 17, 2013 at 13:03

    “Zambia’s new emerald restrictions bad, 7 buyers fail to make it” So what? That is our wealthy. Take it or leave it. ZWD is opposed to anything the govt does which is for the enefit of the nation. Iddiioots.

  37. Black Mist  April 17, 2013 at 12:50

    The Government must must put its foot firmly down on this issue. If the zambian Gemstones are of high value the buyers will beat a path to Lusaka. What is that little travel incovinience compared to what these traders will rake in profits. Could be a case of someone losing that oppotunity for some shade deal. In this day and age, for all i know that participant can trade while he is in India by using local expertise right here. That is what we call creating quality jobs and incomes for our people.

  38. Pal  April 17, 2013 at 12:46

    What is wrong with local traders showing them their product? Infact this will open up market for more local small traders. Give it time and Zambia will become Gem a big market.

    • Vilifier  April 17, 2013 at 13:06

      Its not easy to develop such a market. Government needed to have investigated and started putting up the enough information systems for such a market before effecting the ban. It wont help our emerald in fetching a good price if market is isolated and expensive to get to.

      • kuku bwalya  April 17, 2013 at 14:41

        You are always opposing everything. Sooner you will start opposing yourself to go to the toilet

  39. CHOOMA  April 17, 2013 at 12:37

    Why go all the way to Singapore to sell the emaralds at aour cost! This st.inking indian is mad! Tell him to put his rupees in his backside where the sun will never ever shine!

    • PRAISE GOD  April 17, 2013 at 13:56

      CHOMA you are evil-minded. Indians are also God’s creation and to insult them the way you have done is to ……God Almighty himself. Do you not fear God??? Just disagree.

      I support the government on this one. I am one person who has wondered where revenue from gemstones goes. Zambians of African origin are also involved.

  40. zagwa zatha  April 17, 2013 at 12:27

    24 out of 31 isnt bad especially for starters!!!!

  41. zambiana  April 17, 2013 at 12:19

    “It was going to be fair if the auctioning was held in Singapore or Johannesburg and not here. Besides the travel complication, there are some local traders pushing us to see their products and that is confusing,” Mr Tambi said.
    so this means that some emerald miners just took a few samples to the auction……and they want to sell the rest secretly

  42. The Patriot  April 17, 2013 at 12:12

    F**k you Tambi, we’ll through the emaralds in the zambezi if we want! the emaralds are our and you play by our rules…

  43. kelly  April 17, 2013 at 12:12

    this is good. they will get used. What is the distance between lusaka and J’burg for them to say atleast j’burg? its a scum that will not work

    • callboy Lusaka  April 17, 2013 at 14:08

      Then let them fly directly to Joburg and then connect to lusaka. Only one connection!! Silly complaint.

  44. Blundell  April 17, 2013 at 12:11

Comments are closed.