Latest23 May 2014 21:36
http://www.thestreet.com/story/12708152/1/emeralds-and-rubies-and-amethysts-oh-my-a-talk-with-gemfields-ian-harebottle.html?
Emeralds and Rubies and Amethysts, Oh My: A Talk with Gemfields' Ian Harebottle
As those watching the diamond space are no doubt aware, colored diamonds are becoming increasingly popular, with the best specimens fetching incredibly high prices at auction as investors and celebrities alike snap them up.
With all that attention directed at diamonds, it can be easy to forget that they're by no means the only type of colored gemstone out there. However, not everyone is content to let diamonds steal the spotlight. Ian Harebottle, CEO of Gemfields (LSE:GEM), the world's largest producer of colored gemstones, is one such person.
To find out more about the market for colored gemstones like rubies, emeralds and amethysts, Diamond Investing News (DIN) got in touch with Harebottle. In the interview below, he explains why colored gemstones are making a comeback, also touching on what qualities to look for in such stones and where they are found. In closing, he gives his opinion on whether colored gemstones can be considered an investment.
DIN: One of the things that prompted me to get in touch with you was a recent Mining Weekly article that says Gemfields is "doing for emeralds what De Beers did for diamonds." What exactly does that mean?
IH: Until about the 1940s, global colored gemstone sales were pretty much on par with diamond sales, but then a shift began to arise within the luxury goods value proposition, moving away from the primary drivers of rarity, beauty and quality towards the importance of marketing and branding.
De Beers focused not only on the mining and supplying of diamonds to the world, but also on marketing, branding and positioning, with campaigns such as "diamonds are forever," "diamonds are a girl's best friend" and so on. It's one thing to supply rare gemstones, but it's another to help consumers understand the importance, the rarity and the value that are inherent within these gems as opposed to all of the other luxury goods on offer.