Gemfields Reports 'Disappointing' High-Quality Emerald Auction Results

London—Gemfields reported that its latest high-quality emerald auction brought in $16.1 million. 

The November sale marks the 50th Kagem emerald auction for the mining company, which owns the Kagem emerald mine in Zambia in partnership with the Industrial Development Corporation of Zambia.

Gemfields offered 200,460 carats of higher quality rough emeralds from Kagem in 43 lots, which were available for private, in-person viewings by customers in Bangkok prior to the sale. 

It was 70 percent sold by lot and 70 percent sold by weight, with an average per-carat price of $113.96.

The sale, comprised of five mini-auctions, took place Nov. 4-21 via an online auction platform specifically adapted for the miner that permits customers from multiple jurisdictions to participate in a sealed-bid process. 

“While the wider luxury and gemstone markets are undeniably 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,” said Gemfields Managing Director of Product and Sales Adrian Banks.

Banks added that while bidding for the top quality lots was comparable to that of all-time records for emeralds, the results were “very disappointing,” as lesser quality grades saw fewer and poorer bids.

He said emerald market dynamics are “considerably disturbed” by a competing Zambian emerald producer that is holding regular auctions, at which customers have reported emeralds selling for low prices.

Gemfields previously noted this competitor as having played a role in the weaker-than-expected results of its September commercial-quality emerald auction.

“We believe this is a transient market dynamic and does not reflect a medium- or long-term structural change in supply or market demand. Gemfields remains committed to leadership and market stability,” said Banks.

“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.”

Though last November’s high-quality emerald auction was canceled, with the miner citing lower quality and quantity of emerald production at Kagem, Gemfields’ high-quality emerald sale in May 2024 earned $35 million—robust results despite slightly softer market conditions, it said. 

The miner notes that auction results are “not always directly comparable,” as the lots offered vary in size, color, and clarity on account of variations in mined production and market demand. 

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, according to Gemfields. 

With this milestone sale, Gemfields is reflecting on the last 15 years of Kagem emerald auctions.

It launched its first auction of rough emeralds from the Kagem mine in July 2009 with a goal of introducing stability and consistent supply to an industry it said was previously unpredictable and limited by fragmented availability.

Gemfields said it also had a vision to improve conditions in local communities, creating both long-term skilled jobs and support roles in the mining industry.

Over the years, the company has adapted its approach to maintain a sustainable supply of gems in response to changing market conditions through developments, such as extending the viewing period and introducing an electronic bidding system.

This year, the miner surpassed $1 billion in total cumulative revenue from its emerald auctions.

More information about Gemfields and the Kagem mine are available on the miner’s website.