Tanzania's 'Royal Tour' documentary pushes up prices of Tanzanite gemstones

By Kizito Makoye

ARUSHA, Tanzania (AA) - Despite economic disruptions caused by COVID-19 travel restrictions, the price of Tanzanite -- a precious gemstone 1,000 times rarer than diamonds -- is slightly rising in the global market thanks to the government’s efforts to plug off loopholes for smuggling and an effective marketing strategy.

Known for its vibrant blue-violet color, Tanzanite stone owes rising demand to a recent publicity campaign.

Abdul Mwanga, a commissioner for minerals in Tanzania’s Mineral Ministry, said the government is still working to prevent further smuggling of the gemstone and has promoted its sales globally through multiple publicity campaigns.

“As part of a tourism campaign, our president was featured in the recently produced ‘Royal Tour’ documentary,’ which has had a positive impact on Tanzanite sales globally,” said Mwanga.

He said the price of Tanzanite per carat, which was ranging from $100 to $300 depending on its quality, has risen to between $325 to $750 in some markets.

For decades, gemstones have been a symbol of elegance and class. The price and value of gemstones such as diamonds have been measured by their size, grade, and color. However, Tanzanite, prices are also subject to the laws of supply and demand, whereby a decreasing quantity of stones mined and an increase in interest for the gems may lead to inflation.

All the world's Tanzanite is sourced from just 20 square kilometers (8 square miles) near Mount Kilimanjaro in Tanzania. By contrast, diamonds, which are also rare, are found in more than 30 countries and on multiple continents.

- Mystical gemstone

Tanzanite, a gemstone so unique that people worldwide are thrilled by it, was discovered in 1967 by a Meru herdsman known as Jumanne Mhero Ngoma, who stumbled upon glittering stones as he was grazing his cattle.

Found on the foothills of Mount Kilimanjaro, Tanzanite, though not as expensive as diamonds, is much rarer.

By comparison, diamonds start at around $3,080 per carat and can increase in value significantly owing to demand and supply, said local analysts.

However, the government’s move to plug loopholes for smuggling coupled with an effective marketing campaign has catapulted the sparkling gem as the price of high-quality Tanzanite is reportedly going up.

The ‘Royal Tour’ documentary, produced by American movie maker Peter Greenberg, is seeking to market the country’s tourist and investment attractions. The film, officials said, has helped propel the sale of Tanzanite gemstones in the global market.

The East African country constructed a 24-kilometer (14.9-mile) long perimeter wall around Tanzanite mines in the Manyara region in 2018 ostensibly to deter smugglers.

Before the wall’s construction, much of the rough Tanzanite was being smuggled through the country’s porous borders and sneaked into neighboring Kenya, and exported mostly to India for cutting, officials said.

“We have sealed off those illegal channels and the impact on the rising Tanzanite sales is vivid,” Mwanga told Anadolu Agency.

- Centralized trade

According to Mwanga, all trading activities of rough Tanzanite gemstones are currently handled by a government office known as the Chamber of Mining

Despite the perimeter wall, observers say smugglers are still discovering new tactics, such as digging underground trenches through which they sneak out the precious stones.

As one of the rarest gemstones on Earth, the Tanzanite supply may be entirely depleted in the next two decades, say local experts.

Speaking to Anadolu Agency, Tanzanite dealer and artisanal miner Hamidu Laizer said that despite price fluctuations, Tanzanite is still the most valuable gemstone on the local market.

“The scarcity of Tanzanite itself has made it a very rare gemstone,” he said.

Laizer said the value of Tanzanite is also affected by the forces of demand and supply, the quality of its color in daylight, depth of color, clarity of the stone, type of cut, quality of cut, and polish.

According to him, the price of Tanzanite changes based on weight and color.

“Richly colored grade A Tanzanite could be worth $800 per carat,” Laizer said.

Local Tanzanite miners in the northern village of Mererani have expressed optimism over the ongoing marketing campaign, saying it will cement the country’s status as the only place on Earth where the gemstone is found.

“We need everyone in the world to know Tanzanite was discovered in Tanzania,” said Hemedi Mtweve, an artisanal miner.