A Ring with a Tanzanite Gem It does not make economic sense for Tanzania, which is the only producer of tanzanite (a name derived from the mineral's country of origin ) in the world, to continue wallowing in poverty. Oil has made the Middle-East Rich. Gold has made South Africa rich- Why is Tanzania poor?
Tanzanite (discovered in 1967 at Merelani Hills, located near the East African towns of Arusha and Moshi in northern Tanzania) is a popular and well-known gemstone and a staple of the jewelry trade. Thanks to the power of promotion in creating demand for what was once a relatively an unknown gemstone, the wholesale price of tanzanite rose by approximately 2,500% between 1970 and 1980. This track record is unmatched by any other gemstone.
Today the
demand for Tanzanite, especially in sizes between 6 and 15 carats,
continues to be strong. New mining techniques and the liberalization of the Tanzanian economy has helped to boost production in the past few years to make tanzanite more available than ever before in the history of the gemstone.
But why is the price of this precious commodity tumbling to the detriment of Tanzania's economy?
Today the local price of uncut Tanzanite has tumbled by 50 per cent, threatening the industry and the future of native miners. Gemstone dealers say that the blue/purple gemstone now fetches USD180 per uncut gramme, down from USD350 in June this year. This is the lowest price recorded in the history of Tanzanite business.
source;
http://www.africanexecutive.com/modules/magazine/articles.php?article=3595