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Friday, August 31, 2007
Volume 9, Issue 17

A bi-weekly electronic bulletin from the Gemological Institute of America – the world's foremost authority in gemology.

TABLE OF CONTENTS
In this issue:


August 31, 2007

Industry Analysis: African Beneficiation Concerns India


The move by southern African countries to attract more diamond manufacturing and processing is causing concern in India, where the vast majority of the world’s diamonds are polished.

Manufacturers in Mumbai and Surat believe that African initiatives will keep the larger, most easily polished diamonds – which are also the most profitable – in Africa because those are the only goods that can currently be processed there at a profit. A number of India’s leading manufacturers and the president of the leading Indian trade organization believe that African “beneficiation” could create a shortage of larger rough (polishing out to more than one carat) in India.

In a press statement, Sanjay Kothari, president of the Gem & Jewellery Export Promotion Council, noted that a number of Indian firms processing larger diamonds will be affected by African beneficiation.

However, one major diamond manufacturer in Surat disagreed, noting that African nations are years away from developing a fully world-class diamond-polishing industry because of the technological demands involved.

Rough planning, marking, and laser cutting involve sophisticated technologies that take years for technicians to learn to use correctly and efficiently.

“It is no longer the case where a company can simply hire a number of diamond cutters and begin polishing diamonds,” he said. “To achieve the quality [of cut] necessary in today’s market, one must employ modern technology throughout the entire process.”

The South African national assembly approved the Diamond Export Levy Bill on Aug. 23. The bill mandates that mining companies offer rough diamonds first to local manufacturers. Rough exports that are not first offered to local enterprises will be subject to a 5% tax.

Finance Minister Trevor Manuel said the bill ensured that local supply would be in line with demand. “No reason exists to force diamonds onto the local market beyond local capacity,” he said.

India's consumer market is one of the world’s fastest growing, but softer-than-expected retail sales in the United States are causing inventories to rise – particularly in the overseas offices of many Indian manufacturers. The U.S. is India’s major export market, but it is experiencing difficulties associated with the U.S. faltering housing market and sub-prime mortgages. Prices of smaller low- and medium-quality polished have been soft for months, and manufacturers have indicated that mass-market retailers in the U.S. are lowering their expectations for the upcoming fall shopping season.

While large goods remain in strong demand, manufacturers report that such rough is scarce and growing more costly.

At the Diamond Trading Company’s Aug. 20–24 sight, where it sold about $625–650 million worth of rough, larger goods were reportedly priced much more fully. The DTC alters prices in each sight by tinkering with assortments – putting borderline qualities in the higher category to effectively raise prices or in the lower category to reduce them. DTC sightholders report that there have been no good breaks in the assortments for months.

A mystery “diamond” has reportedly turned up in South Africa. A small mining firm is claiming to have discovered a diamond more than twice as large as the Cullinan – at 3,106 cts., the largest rough diamond found up to now – in the northwestern portion of the country. The find has not yet been confirmed, and a representative from De Beers was reportedly skeptical. A photo released by the stone's owners depicts a clear green modified octahedron about the size of a coconut. The photo also shows the reported diamond having a very uncharacteristic smooth surface as well as sharp, well-defined edges rarely encountered in a rough diamond.

When the Cullinan was discovered in 1905, the owners kept the diamond under wraps for a number of weeks before unveiling it in a public ceremony.

Russell Shor
Senior Industry Analyst

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August 31, 2007

From Gems & Gemology: Multicolored Fluorite from Brazil


This 77.36-ct. multicolored fluorite originated from a new source in Brazil. Photo courtesy of Jaroslav Hyršl.

Although fluorite is generally not a good jewelry stone because of its low hardness (4 on the Mohs scale) and four perfect cleavages, its availability in large sizes and a wide variety of colors — sometimes within the same gem — makes it very popular with collectors. Argentina has produced large quantities of transparent multicolored fluorite in yellow, orange, green, purple, and brown, among other colors. It is found in veins that are hosted by granite at the Valcheta and Los Menucos mines, both in Rio Negro Province.

In early 2007, a new source of multicolored fluorite was found in Brazil, reportedly in Bahia State. This fluorite may show dozens of very thin layers in yellow and pink shades, but most striking is the presence of “sapphire”-blue zones. These occur near the surface of the crystals, with the inner portions usually pink or yellow. Depending on the orientation of the color zones, faceted stones can be produced with a resulting blue, pink, or multicolored (see figure) face-up appearance.

This contributor recently examined several samples of this material. The rough was available only as cleavage fragments with few crystal faces and no matrix. Two of the pieces with crystal faces had small (1 mm in diameter) yellow metallic inclusions, visually identified as chalcopyrite, located about 1 mm beneath the surface. Such inclusions point strongly to an origin in a hydrothermal copper deposit.

As of May 2007, at least 1,000 carats of cut stones were available in Brazil, ranging from approximately 1 to 77 cts., and more will almost certainly be produced in the future. Although this fluorite makes a nice collector’s gemstone, there is also the possibility that the blue material may be offered as a sapphire imitation, in much the same way that some green fluorite has been found mixed with emeralds of the same color.

This entry was prepared by Jaroslav Hyršl, an independent researcher in Prague. For more gemological developments from around the world, read the Gem News International section in every issue of Gems & Gemology. To order an issue or to subscribe, click here or contact Circulation Coordinator Debbie Ortiz toll-free at 800-421-7250, ext. 7142. Outside the U.S. and Canada, call 760-603-4000.

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August 31, 2007

2007 Schuetz Design Contest Winners Announced


First place in the 2007 Schuetz Design Contest went to Yael Serfaty's cuff links design.

GIA has announced the winners of the annual George A. Schuetz Jewelry Design Contest. Named in honor of men’s jewelry designer George Schuetz, this international competition recognizes the best original designs in men’s jewelry and accessories. It is hosted by GIA and open to all designers.

This year, first place was awarded to Yael Serfaty of Ashdod, Israel, for his cuff links of white gold, yellow gold, and diamonds. Serfaty will receive $500 and an etched crystal plaque.

Serfaty said, “I am grateful for the opportunity to participate in this esteemed contest, and for the great honor I have been awarded.”

Hirata Kiyoko of Ashiya Hyogo, Japan, won second place for a ring that features 18K white gold with yellow gold on the inside, diamond, and blue sapphire. The piece is also suitable to be worn as a pendant. Kiyoko will receive an etched crystal plaque to recognize the achievement.

Hirata Kiyoki's ring design received second place in the contest. 

Third place went to Duck Woo Chun of Seoul for a matching tie bar and cuff link set in malachite, onyx, white gold, and white diamond melee. Chun will also receive a plaque.

The Schuetz Contest is an excellent opportunity for young designers to express their creative vision and talent. Contestants may submit one original color design rendering, and it must not have been previously exhibited or offered for sale.

Each entry is judged by an independent panel of industry experts, who evaluate it based on design, wearability, manufacturability, and appeal. This year,104 entries were received from around the world. The entry period is from April 15 to June 15, with the winners named in August.

Duck Woo Chun's matching tie bar and cuff link design received third place.

For more information, please contact Phillip Weeks at pweeks@gia.edu, 800-421-7250, ext. 4004; outside the U.S. or Canada, call 760-603-4004.

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August 31, 2007

Become a Sparkling Success at GIA's West Coast Career Fair


Hundreds of job seekers are expected to attend the GIA Jewelry Career Fair and Open House on Oct. 19 in Carlsbad, Calif. Photo © GIA.

On Friday, Oct. 19, GIA will host its West Coast Jewelry Career Fair and Open House from 8 a.m. to 3 p.m. at the Institute’s headquarters in Carlsbad, Calif.

GIA students, seasoned professionals, and entry-level job seekers interested in a jewelry career will converge on GIA’s Robert Mouawad Campus to meet some of the industry’s most prominent firms, including Tiffany & Co., Tourneau, Zale Corp., and Ben Bridge. These recruiters come to Career Fair to showcase exciting employment opportunities in the jewelry industry and to conduct preliminary interviews with job candidates.

The event is also an opportunity for those who are interested in gems and jewelry to tour the Institute’s campus and museum exhibits.

Jewelry Career Fair attendees will receive advice on what it takes to succeed in this diverse and rewarding field. One-on-one career coaching, professional development seminars, and networking with the trade’s key players are some of the benefits for job seekers who attend.

Panel sessions at the event will include: Working to Win, Immigration Law Workshop, What Happens After “You’re Hired,” Starting Your Own Business, and Survival Tactics for New Designers. Each of these panel discussions will offer helpful insight from industry VIPs.

Ghislanie Martin, a former GIA student, attended a Jewelry Career Fair which eventually led her to an appraisal job for Saks Fifth Avenue. “Career Fair was a phenomenal channel for me that directed me to my current career path,” Martin said. “The event provides a valuable resource to attendees because it helps them identify the most appropriate profession that matches their talent, education, and skills."

The GIA Jewelry Career Fair is in its 17th year of connecting companies and talented job seekers who have the skills and commitment to succeed in the industry.

Job seekers can visit GIA Career Fair for more information, or call GIA’s Jewelry Career Fair hotline at 800-421-7250, ext. 4100. Admission for job seekers is free. Employers who wish to recruit at Career Fair can call 800-421-7250, ext. 4195.

GIA holds two Career Fair events every year, one in the summer in New York and one in the fall in California. GIA’s Jewelry Career Fair was founded by GIA and The Jewelers 24 Karat Club of Southern California. The prime sponsor for the New York Career Fair is The Nielsen Jewelry Group, and the prime sponsors of the Carlsbad event are the JCK International Publishing Group and The Jewelers 24 Karat Club of Southern California.

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August 31, 2007

Save the Date for the 2009 Gemological Research Conference


The Gemological Research Conference will take place Aug. 21–23, 2009 in San Diego, Calif. 

GIA has announced plans to host its second Gemological Research Conference (GRC). The event will take place Aug. 21–23, 2009, at the Town & Country Resort and Convention Center in San Diego, Calif.

The first Gemological Research Conference, held over two days in August 2006, drew more than 700 attendees from 32 countries.

According to Dr. Jim Shigley, one of the co-chairs of the event, “The first GRC earned enthusiastic praise from a wide variety of international participants. In response, we’ve expanded the 2009 conference to a three-day event, and will feature world-renowned keynote speakers, cutting-edge oral and poster presentations, panel discussions, and a gem photography competition and workshop.”

In addition, the Mineralogical Society of America (MSA) will collaborate with GIA on organizing one of the conference sessions.

The dual-track program will cover numerous technical areas of contemporary importance. Track 1 will focus on topics such as gem treatments, synthetics and simulants, gem localities, the geology of gem deposits, diamond characterization, colored stone identification, inclusions, new technologies in gem characterization, and teaching gemology in a university setting. Track 2 will feature subjects such as pearls and organic gems, color description, jewelry manufacturing technology, market research and analysis, gem pricing, gems in archeometry, and jewelry history.

Rounding out the conference will be field trips to gem pegmatite mines in San Diego County and social events, including Gems & Gemology’s 75th anniversary party.

“One of the unique aspects of the GRC is its international, multi-disciplinary participation—not just gemologists, but also geologists, mineralogists, physicists, and materials scientists,” said Brendan Laurs, G&G editor and co-chair of the event. “We are also excited about collaborating with MSA and getting their membership more involved with gemology.”

Travel grants again will be available for presenters who demonstrate appropriate need.

For more information on the 2009 Gemological Research Conference, visit www.grc2009.gia.edu or e-mail grc2009@gia.edu.

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August 31, 2007

Loupe's Editorial Staff Wins Six Publishing Awards


The Loupe's editorial staff includes (left to right) Amanda Luke, editor; Jaime Kautsky, associate editor; Eric Poulsen, graphic designer; and Emily Stegman, associate editor. Photo © GIA.

The Loupe: GIA World News received six awards in Publications Management’s 4th annual Magnum Opus Awards.

This contest is held in conjunction with the University of Missouri’s School of Journalism, the first journalism school in the world. Judges include publishing professionals and University of Missouri journalism professors.

The goal of the Magnum Opus Awards is to “raise the quality bar of custom publications and, in turn, their value as a strategic marketing vehicle,” according to the organization.  

Winning articles by The Loupe’s editorial staff include:

Russell Shor, GIA's senior industry analyst, received the Silver Award. Photo © GIA.

  • Silver Award, Best Regularly Featured Department, Section or Column “Market Viewpoint,” by Russell Shor
  • Bronze Award, Best Sidebar
    “Industry Helps Employees – and Communities – Get Back on Their
     Feet,” by Jaime Kautsky (Summer 2006)
  • Bronze Award, Best News Story
    “Why They Buy,” by
     Jaime Kautsky (Fall 2006)
  • Honorable Mention, Best Interview or Profile
    “Boyajian Passes the Torch,” by
     Amanda Luke (Summer 2006)
  • Honorable Mention, Best Interview or Profile
    “History Repeating,” by
     Emily Stegman (Spring 2006)
  • Honorable Mention, Best News Story
    “Annual Career Fair Connects Job Seekers to Industry Greats,” by
     Emily Stegman (Winter 2006)

The Loupe won three Magnum Opus Awards in 2006.

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August 31, 2007

Family's Donation Honors Kenneth Brown