Gemfields has announced the results of an auction comprised of higher-quality rough emeralds held from 4 to 21 November 2024. A total of $16.1 million revenue was garnered from 30 sold lots, representing only 70 percent of the total 43 lots offered for sale.
According to the company, the 30 sold lots comprised 141,084 carats of 200,460 offered. Average price achieved at the sale was $113.96 per carat. The sale revenue was the lowest in more than two years. The March auction of 2024 fetched $35 million in total, and the one in November of 2023 totalled at $30.8 million with 94 percent of lots sold.
“While the top-quality lots in this auction saw bidding within touching distance of our
all-time records for emeralds, the overall result for this auction is very disappointing,
driven by fewer and poorer bids for lesser quality grades,” commented Adrian Banks, Gemfields’ managing director of Product & Sales.
According to Banks, while the wider luxury and gemstone markets are facing challenging times, customer attendance and engagement at the auction were good, as is evidenced by the strength of bidding for the top-quality lots on offer.
As reported at the time of Gemfields’ September 2024 commercial-quality emerald auction, the company continued to see emerald market dynamics considerably disturbed by a competing Zambian emerald producer who holds regular auctions (September, October and November 2024) in Dubai and promoted as the “largest emerald auction in history” and sells through their emeralds at what customers reported as low prices. “We believe this is a transient market dynamic and does not reflect a medium- or long-term structural change in supply or market demand,” said Banks.
The auction lots were made available for private, in-person viewings by customers in Bangkok, Thailand. Following the viewings, the auctions took place via an online auction platform specifically adapted for Gemfields and which permitted customers from multiple jurisdictions to participate in a sealed-bid process.
“Gemfields remains committed to leadership and market stability. As demonstrated by today's auction, we have taken proactive steps to support the market by withholding certain lots that did not achieve satisfactory bidding. We believe this approach helps foster a more secure and sustainable market for all stakeholders including our customers,” Banks added.
The rough emeralds sold were extracted by Kagem (which is 75-percent owned by Gemfields and 25-percent by the Industrial Development Corporation of Zambia). The proceeds of this auction will be fully repatriated to Kagem in Zambia with all royalties due to the Government of the Republic of Zambia being paid on the full sales prices achieved at the auction. (Photo courtesy: Gemfields)
05-12-2024
← Back