Moreshine Gemstone
Moreshine Gemstone

HOW TO AVOID LOSS IN GEMSTONE BUSINESS

 This  article is very important to all those who would like to avoid losses  in gemstone business. Basically there are so many factors or avenues  that can cause losses in gemstone business, and in this article we will  be looking at the major ones that can help reduce up to 90% of losses. 

1. Avoid Synthetic Gemstones

If  you are not careful, synthetic gemstones can cause you big loss which  cannot be explained. In some of my previous articles I explained a  little bit what a “synthetic gemstone” is. It is a lab made gemstone  with the same characteristics of a natural gemstone, such as “crystal  structure”, “chemical composition” just like a natural gemstone.

2. Avoid Simulant Gemstones

This  one can be natural or synthetic gemstone but for more details about  stimulant gems you can check my previous articles. For instance; if you  sold a pink gemstone to the customer and you think that was sapphire.  But as he took it for a test and result showed that it was a spinel, in  reality you have sold a pink spinel and not a pink sapphire, whether you  know it or not, you have sold a simulant sapphire.

3. Avoid Imitation Gemstones

Imitation  gemstone is neither natural nor synthetic gemstone, but it is a  material that “looks like gemstone”. If you sell this imitation gemstone  then later on a customer discovers it was not natural, you get yourself  in trouble to an extent of compensation. You will enter into  unnecessary expenses as well as losing a customer.

4. Don’t Judge a Stone By Sight

Another  means of avoiding losses is, never estimate a gemstone by its look or  by sight, whether it is natural or synthetic. Judging a gemstone by  sight needs a lot of experience, especially if you want to know whether  it’s a simulant or imitation, but if it is synthetic you need  gemological tools to know or distinguish it from a natural sapphire. The  best way is to use gemological tools or sending them to the gem lab  testing.

5. Don’t Assume to be Natural because it comes from a “Mine Areas”

This  is another crucial area you need to be very careful. It happened to me  one day I sent my gem cutter to the sapphire mining area to buy two  pieces of sapphires. He bought them, mind you this person has five  years’ experience in gemstone cutting. He brought them from Umba in  Tanga region where the sapphire deposits are.

 

After  processing them I sent the two pieces to China and the client took them  along with him to USA. In getting to USA he tested them and to my  surprise they were synthetic which I sold for US$7000. And the customer  had already paid a down payment, you can imagine the kind of loss I  encountered.

 

That  was in 2015, I believed every gemstone that comes from the mine areas is  natural but I never knew the middle men were smarter than me. So don’t  make the same mistake. You know some brokers take synthetic gemstones  and sending them to the mine areas because they believe everyone sees  stones in mine areas are natural. Be careful. 

6. Don’t depend totally on the Gem Cutters Explanation

  1. during the cutting it must prove all the characteristics of a natural gemstone.
  2. I test them before and after cutting
  3. Sometimes Gem cutter cannot recognize if gem is natural or synthetic so I test
  4. Sometimes Gem cutter cannot recognize if gem is treated or not so I test
  5. Sometimes Gem cutter cannot recognize gem varieties like pink tourmaline, pink spinel so I test

Now what exactly should be done to Avoid Losses

  •  Take your gem to the Gem Lab for testing, this is one of the best way
  •  Look for a private Gemologist for testing your gemstones if there is no gem lab in your neighborhood.
  •  Make sure your gemstone goes for at least 3 different tests,  this will give you assurance on the gem you expect to sell and avoid  loss.