Market Prices of Gemstones are affected by various factors. There is no international grading or pricing standards set for pricing gemstones other than Diamonds. Determination of prices requires significant knowledge and practical experience about gemstones. But before buying a gemstone, a consumer must know about the main factors affecting the prices of a gemstone. Main factors affecting the prices are as follows:

bullet.png BEAUTY

Beauty of a gemstone depends on the 4 C's and phenomena. Please read about 4C's before knowing how they affect the price of a gemstone. Gemstones are known for their beauty, therefore Beauty governs the prices to a great extent.

• 4C's Vs Gemstone Pricing:

COLOR

Colored Gemstones must have a good, rich & desirable color. Every colored stone is priced high for its pleasant color. Neither too dark or over toned nor too light. Richer and better the color, higher the price of the gemstone. Ex: Rubies are known for their Pigeon-blood red color and Emeralds for Yellowish Green (pleasant grass green color).

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Colorless Gemstones must be free of any color tints. Ex: White Diamonds are known without any color tint are always priced higher than a diamond which are slightly yellow or brown tinted.

CLARITY

Gemstones relatively free from inclusions and having a bright, lively appearance are valued the most. Though inclusions are common in colored gemstones, lesser the amount of inclusions - higher the price of the gemstone.

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CUT

Gemstones cut with precision and perfection returns the maximum amount of light reflected from within the gemstone, therefore improving the overall brilliance, lustre and appearance of the gemstone. Infact, gemstones cut with high-level precision yields lesser weight from the rough stone than a poorly cut stone. In order to cut a perfect gemstone the precious gem rough is sacrificed and standards of symmetry are followed to maintain accurate proportions. Whereas in poor cut stones to gain maximum weight from the rough, proportions are altered according to the shape of the rough. Therefore, a gemstone cut with high-level precision & accuracy are priced higher than a poor cut stone.

CARAT ( WEIGHT )

Gemstones of bigger size are valued more than small sized gemstones because as the weight increases, it is difficult to find a gemstone with good color & clarity. Ex: It is easier to find a 1ct blue sapphire than a 4ct blue sapphire of similar color & clarity. Therefore, as the weight increases, the gemstone becomes rarer and its value increases substantially.

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bullet.png  RARITY

...gemstones are known as precious and invaluable just because they are rare.

However, gemstones which are rare or antiques or gemstones having an historic connection are priced high irrespective of other value factors. These gemstones are valued on the basis their historic importance or rarity. Please read famous gemstones page to know more. Ex: a diamond which was studded in a great emperors crown would be priced unreasonably higher than a diamond of similar color & clarity. All 4C's also indirectly depends on the rarity factor. A gem possessing all 4C's is priced high, just because finding a rich colored, inclusion free, perfectly cut  large sized gemstone is rare. Therefore rarity is one of the most important value factor. 


bullet.png ENHANCEMENTS & TREATMENTS

As the proportion of high quality natural untreated gemstones is quite less, they are very rare and priced very high. Most of the natural gemstones obtained are of inferior quality lacking 4 C's, therefore they enhanced by man to improve thier appearance. Therefore the value of such stones decreases even though they look better than natural untreated gemstones because they are not rare. Note: The price difference between enhanced & untreated gemstone varies considerably. Price of enhanced and untreated gemstones must never be compared. Gemstone Pricing Vs Enhanced Gemstones: There might be a considerable price difference between 2 enhanced gemstones also. Factors affecting prices of enhanced gemstones are: 1. Type of enhancement. 2. Quality of enhancement performed. 3. Durability of the enhanced gemstone. 4. Stability of the enhanced gemstone.


bullet.png  COUNTRY OF ORIGIN

Generally gemstones from specific mines, which are known for producing top-quality are priced substantially higher than gemstones of almost similar quality from other sources. Ex: Rubies from Burma (Myanmar), Blue Sapphires from Kashmir (India), Yellow Sapphires and Hessonite Garnets from Ceylon (Sri Lanka) and Emeralds from Columbia & Pakistan.


bullet.png FASHION & LOCAL DEMAND

Prices of gemstones might increase or decrease as the fashion changes. Ex: 1. Prices of Tanzanite increased substantially when it came into fashion after the release of the movie Titanic. 2. Similarly the local demand of Turquoise in India increased  to a great extend when Indian Actor Salman Khan wore a Turquoise bracelet in a bollywood movie. 3. People of few european countries value Citrine more than Yellow Sapphires.


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