Editor’s Note
This article examines the shifting dynamics of the global ruby market, highlighting how geopolitical factors and resource depletion are reshaping a centuries-old industry.
In the 21st century, the ruby market has been evolving due to various factors. The discovery of new mines has brought deeply buried resources to the surface, while exhausted mines have faded into history. Among these changes, the most notable is the current status of Myanmar rubies, which sat atop the pyramid for centuries. As Myanmar faced strong international condemnation for human rights abuses, the United States and the European Union declared trade sanctions, and numerous luxury brands halted imports of gems, including rubies, from Myanmar. This shift in the international landscape is also changing perceptions of gem value. Meanwhile, Mozambique has begun to fill the void left by Myanmar, emerging as a major source of premium-quality and sustainable rubies and gaining attention as an ‘ethical alternative.’ To improve the negative image left by Myanmar, Mozambique is fostering an atmosphere of deep concern for environmentally friendly mining and respect for human rights, more so than any other source.
There’s a saying: “Choose rubies as you would choose caviar.” This means the origin significantly influences a ruby’s value. While gems should be evaluated for their inherent beauty and quality, one cannot deny the practice where specific origins command high premiums. This is evident in the premium associated with the commercial term ‘pigeon’s blood.’ For centuries, humanity has described the finest rubies mined from Myanmar’s Mogok region as having the ‘blood-red color of a freshly killed pigeon.’ It refers to “rubies of pure red or red with a very slight purple hue, exhibiting intense fluorescence.” It’s easier to understand if you think of burning coal or a red traffic light. This is why Myanmar rubies have maintained significantly higher prices than those from Southeast Asia (Thailand, Cambodia, Vietnam) or East Africa (Madagascar, Tanzania, Kenya). On the other hand, Mozambique rubies were first discovered in 2008 in the Niassa National Reserve, but their actual formation dates back about 475 million years earlier than Myanmar’s. Mozambique reached a historic turning point as a ruby source after high-quality rough stones were found in the Montepuez area in 2009. Tens of thousands of small-scale miners, called ‘garimpeiros,’ flocked to the area, and the mined rough stones were largely transported to Bangkok for processing, cutting, and trading. Consequently, Montepuez rose to become the most important source for the Thai ruby market in just one year. Soon after, major corporate involvement began. In 2012, UK’s Gemfields and Mozambique’s Mwiriti formed a joint venture to establish MRM (Montepuez Ruby Mining Company). From 2019, Dubai’s Fura Gems and India’s Gemlac joined forces, introducing advanced mining technology. Although small-scale miners still coexist at Mozambique mining sites today, innovative corporate technologies have helped stabilize ruby market supply over the past decade despite various issues.
Currently, two types of rubies are mined in Mozambique: ‘Mugloto’ (called ‘Bor Som’ in Thai) and ‘Maninge Nice’ (called ‘Bor Dang’ in Thai). Mugloto has high iron content, resulting in a darker tone, fewer inclusions, and larger volume, but weaker fluorescence. In contrast, Maninge Nice boasts a highly saturated red color with strong fluorescence. They are mostly flat in shape and have many inclusions, resulting in smaller sizes after cutting. However, in terms of bright, vivid color and strong fluorescence, they are comparable to Myanmar rubies. Due to these characteristics, the finest grades are often listed as ‘pigeon’s blood’ on identification reports. The rubies produced from Fura Gems’ mines primarily belong to the Maninge Nice type. A representative example is the ‘Estrela de Fura’ ruby, which set a record high price in the colored stone category at a 2023 Sotheby’s auction.
Fura Gems’ ruby mining process begins with extracting the ruby-bearing gravel layer, called ‘camada,’ and transporting it to the washing plant. It may sound simple, but it’s actually a complex engineering process requiring various technologies to separate sediments by size and concentrate the ore. It requires large amounts of water, so significant effort is also put into the recycling process (up to 90% reuse is possible).
Subsequently, rubies are separated from the sorted mixture using optical sorting equipment and graded based on transparency, color, and size. The final grading is done manually by experts at the highly secure headquarters in the UAE. Fura Gems has built a system that applies precise technology to gravel processing and sorting, enabling efficient handling of massive amounts of ore. This allows for more efficient resource management and stability in the international market.
Ruby prices are determined by various factors such as quality and size. However, the reality is that Mozambique rubies, with their short mining history, trade at significantly lower prices compared to Myanmar stones of the same size and quality. Therefore, Fura Gems is promoting various educational programs and collaborations to enhance consumer awareness of Mozambique rubies and accurately convey their value. Through this, they are creating content to develop the colored stone category and strengthen their position in the luxury market. Additionally, they invest 2% of their revenue in establishing the ‘Fura Training Academy’ to support local communities, providing education and technical training to residents in various fields from mining to agriculture to promote sustainable income.
In South Korea, rubies have played a significant role in attracting so-called ‘Gangnam moms’ to jewelry stores in recent years, fueled by a superstition that they bring success to husbands and children. Regardless of intent, it’s undoubtedly successful viral marketing that accurately captured middle-aged women’s desire for rubies. However, this consumption trend is not limited to the middle-aged. Post-pandemic, demand for colored gems to express individuality is also increasing among millennials. In this flow, mining companies operating production systems that combine industrial innovation and sustainability are worthy of enthusiastic welcome. Fura Gems, which the author visited, also plays a leading role in strengthening cooperation with local communities within Mozambique and providing sustainable income opportunities through education and technical training. Thanks to such efforts, the image of the ruby industry, once criticized for human rights issues, is also shifting positively. The future of the colored gem market can no longer rely solely on discovering new mines. It’s time to focus on the growing demand for ‘fair trade gems’ that ensure safe working conditions, environmentally friendly processes, and benefits for local communities.