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Sunday, 22 June 2003 |
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Maximising earnings from gem exports by Elmo Leonard Not a single uncut gemstone from Sri Lankan mines should be permitted to leave the shores of the island, Tennakoon Rusiripala, the newly appointed Chairman of the National Gem and Jewellery Authority said. Rusiripala said he would crusade strongly with the Government towards this end. He aims to maximise Sri Lanka's earnings from gem exports. Rusiripala has a wide understanding of the trade; he was, earlier, NGJA's Vice Chairman. He wants gem centres to be set up in India and Sri Lanka under the Indo-Lanka Free Trade Agreement, to facilitate the gem trade between the two South Asian neighbours. The NGJA Chairman also wants Lanka-franchised shops to be set up in the main cities of the world, to propagate the island's gems and jewellery. The Ministry of Foreign Affairs has already written to some Lankan foreign missions about this concept, he said. Rusiripala said that tourists entering the Indonesian island of Bali are informed that they are arriving in the land of batiks, motivating them to buy batik products. Similarly, visitors to Sri Lanka could be influenced to buy local gems and jewellery. This could be done at the airport and by SriLankan Airlines, he told the gem and jewellery trade, politicians and media. He said the NGJA had a gigantic task on hand, of improving the industry. In 2002, Sri Lanka's exports of gemstones reached Rs 25.2 billion from Rs 21.8 billion in 2001. In 1995, the island's gem exports was a mere Rs 12.7 billion. The local gem and jewellery industry employs two million persons. Many Lankan lapidarists use traditional methods of cutting and polishing gems and Sri Lanka is far behind India, which opened its economy 10 years after its island neighbour. India is now the largest processor of precious stones in the world; refining 10 out of nine gems put out to the international gem trade. However, Sri Lanka must not do away with traditional gem cutting modes, as these cutters compete with products put out using sophisticated technology, Rusiripala said. The world gem and jewellery industry makes $ 175 billion annually, Director, Research and Training Institute of the Gem Authority, Vijay Gunawardena said. However, Lankans account for only two/three per cent of this, he said. Most Lankan gems are purchased by American and European buyers, who add many times the value of their purchase, when the product is sold as jewellery to the consumer. According to Rusiripala, Adviser to the Prime Minister, R. Paskaralingam had said Sri Lankans returning from overseas should be allowed to bring in unrestricted amounts of gems from any country, in a bid to expand the local gem and jewellery industry. Gemstones are found in many African countries, which could be cut, polished and studded on jewellery, and exported from Sri Lanka, he said. He drew attention to an estimated 18 tonnes of geuda, purchased by Thai buyers around 20 years ago, and heat-treated to produce sapphires. Although Thailand is not a gem producing country, buyers are shown unlimited amounts of gems, to present the widest selection to the purchaser. Member of Parliament for Ratnapura, Mahinda Ratnatillake said SriLankan airlines should have flights to Madagascar which is a new gem producing country. Also, that Sri Lankans leaving for Madagascar should be allowed to take away any amount of money to purchase gems. When arriving however, they should carry proof of how much money they had spent on these purchases and the gems they carry should be exempted from tax. Ratnatillake said it is becoming increasingly difficult to mine gemstones in and around Ratnapura and that miners had to go deeper, often to 50 feet, to find gems. However, even a thousand years from now, gems would be found in Ratnapura, he said. Deposits of gems were now being found in many parts of the country and recent finds suggest that Nuwara Eliya could have more deposits than Ratnapura. Ratnatillake called for the legalisation of mining rivers and rivulets, so that it could be done under the supervision of the authorities. Mining rivers cannot be prevented by laws, and leads to environmental pollution, he argued. |
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