CHANTHABURI

The gemstone market in Chanthaburi is an extremely interesting market. It is located about 250km South East of Bangkok (3.5hrs) and 80km West of the Cambodian border. The gem market is only open on Friday and Saturday and is basically a wholesale market. Most gem dealers in the Bangkok Jewellery Trade Centre go to the Chanthaburi market on the weekend to buy their stock.

The market is unique in many aspects. Buyers sit at tables in one of many under cover shops that are open to the street, allowing brokers easy access. The buyers can write down what they are looking for, or chance their arm and wait to see what the brokers offer. Brokers may be offering their own gemstones, someone else’s or a combination of both.

Chanthaburi

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The brokers wander from table to table offering their gems. If you see something you like, you can accept the price and buy. The owner of the table will inspect the gemstones and discuss what they are with the broker and seller. So, if you are buying Sapphires, they will be weighed and any treatment discussed, when the buyer is happy the deal will be done. The owner of the table will take a commission of between 10 and 20%. Who pays the commission is decided before the deal is completed and it is either ‘fresh’ meaning the buyer pays or else the broker pays.

Alternately a buyer can rent a table monthly or annually and avoid the commissions, many of the buyers from Bangkok take up this option.

Many deals are also done in the street or coffee shops to avoid commissions. Brokers simply offer gemstones as you walk past, however this gives you less opportunity to properly examine the gemstone and increases your chances of making a poor purchase. You can of course sit in a coffee shop and examine the stones at your leisure but unless you are experienced and have some gem testing equipment with you, you may find what you bought and what you thought you bought, to be two entirely different things!

Generally speaking, the owner of the table is responsible if the gems turn out to be anything other than what was actually sold. Since the Brokers and Table Owners, all know each other, it assures a degree of certainty. In practice this really only works where there is an existing relationship between the buyer and the table owner. If you arrive in the market as an unknown and you have a dispute, it will likely end in a ‘buy at your own risk’ situation.

You may also be offered the services of a local lab to verify the gemstone before buying. The result of the examination may or may not be especially accurate or in depth. If you are buying a particularly expensive gemstone, the seller may offer to send it to Bangkok to a truly independent lab for certification before you buy. The deal can then be completed in either Chanthaburi or Bangkok.

It is when a broker offers a package of gems and the buyer wants to make an offer, that things get really interesting! Sometimes the gemstones are offered as a package and sometimes you may ‘select’. Obviously the price per carat is much higher for selecting from the package and often this option is not offered. Package lots of 500 plus carats are not uncommon and so this is not really a market for purchasing one or two stones.

Once you have selected the individual gems, the package is wrapped up, sealed and signed by the prospective buyer, and the broker takes it back to the gemstone owner, with the price written on the package. The owner of the gemstones can accept the offer which means the package is returned to the buyer intact and the deal is completed.

If the gemstone owner declines the offer, they may tear up the package and the offer is rejected, or send it back intact with a counter offer. This process may be repeated a number of times through the day and it is not unusual for it to happen three times or more.

Brokers generally only make 2% on each sale. If they can obtain a higher price, then they keep the difference, so they may return the package and say that the owner wants a higher price just to improve their share. It is difficult to know if the offer was actually accepted by the gemstone owner or not if the package remains intact. The gemstone owner may have rejected the offer, but not torn open the package. The package may come back with a counter offer attached, it is an acceptable practice to tear open the package and reject the offer, or a counter offer may be made.

If the package comes back still sealed but not accepted, it may be that the Broker is trying to squeeze out and extra margin. It is acceptable to offer the broker a small ‘tip’, if you believe that the owner did accept the offer in the first place and the broker is holding out in hopes of getting a little extra. The buyer is obligated to buy if the offer is accepted, however there is no enforcement of this. Once again, the market tends to self-regulate and getting a bad reputation results in less opportunity to buy in future. Since it is a relatively small market of only a few hundred participants, a bad reputation is easy to acquire. It really is a game of cat and mouse!

There are also dozens of shops selling gemstones, jewellery, gemstone rough and specimens. There are also stalls lining the streets around the market with a variety of gems and rough pieces and gold and silver jewellery. It is easy enough to buy some nice specimens and silver rings and the prices are cheap enough, however haggling is still encouraged. I usually buy quite a few rings at a time, so will negotiate a bulk price once I have chosen. I do manage to get good prices on my jewellery as I tend to go to the same dealers year after year and they know to give me a good price, especially as I bring tour guests who also buy!

I am often asked for advice on buying gemstones at Chanthaburi. My advice is always the same, go for a look, maybe buy a cheap gem, specimen or silver jewellery for the experience, but otherwise don’t.

How and Where To Buy Gemstones in BangkokI take guests on my tours down to the market to show them and explain how it all works, but we don’t buy. I have been using a broker for the last five years to buy my gemstones. I pay a retainer, set my budget monthly and give deliberately vague buying guidelines.

It has taken time to build a rapport with my broker so that he understands what I am looking for. Currently I am chasing gemstones above 3cts, but in the past I have asked for 1ct gems for putting into rings. I take whatever is ‘flavour of the month’ as it is cheaper. If I specify a particular type of gemstone, it usually increases the price. Sometimes my broker cannot select individual stones from a parcel and will call me to see if I want the whole parcel.

I am fortunate to have found an honest, reliable and knowledgeable broker, who has bought me some rare and unusual gems. I have some green Sphene, colourless Mali Garnets and even an Amazonite. He also regularly buys me 5ct plus Rhodolite and Spessartite garnets.

One last word of warning, while ‘ferang’ (foreigners) can buy in the market, it is illegal for them to sell. So, if you take a parcel of gemstones hoping to sell them, you may end up being deported and having your gemstones confiscated!

Chanthaburi Gem Market has a rich and early history that dates back several centuries. Small-scale gemstone mining and trading in Eastern Thailand, including Chanthaburi, were described as early as the 15th century. These Sapphire fields extend across the border into Cambodia and are largely unexploited today.

The region’s fertile lands and agricultural activities often led to the accidental discovery of sapphires and other gemstones while villagers were planting their crops.

Stories of newly arrived farmers finding plentiful corundum on the surface as large as hen’s eggs abound.

It is worth noting that Chanthaburi has a long history of receiving settlers from various backgrounds, including Khmer settlers in the 13th century and later migrants from China and other regions. This multicultural heritage has contributed to the unique identity of Chanthaburi as a city known for its cultural diversity.

Chinese settlement

Chanthaburi, Thailand, has a rich history of Chinese settlement and immigration. Over the years, several migrations of Chinese immigrants, particularly from Vietnam, have contributed to the cultural and economic landscape of Chanthaburi. The Chinese settlers, along with the original Chong settlers, have played a significant role in shaping the history and development of the region.

Chinese immigrants have been present in Chanthaburi for many centuries. In 1408, a Chinese immigrant invented a method for cutting and polishing gemstones, which eventually led to the city’s association with the gem trade. The Chinese community has made notable contributions to the gemstone industry and has established itself as a prominent part of Chanthaburi’s identity.

Chinese settlers in Chanthaburi have also brought their traditions, religion, and culinary practices to the region. They have influenced the local cuisine, architecture, and cultural traditions, leaving a lasting impact on the city’s heritage. Many Chinese temples and shrines can be found throughout Chanthaburi, serving as important cultural and religious landmarks.

Chinese settlers have actively participated in trade and commerce, contributing to the local economy. They have been involved in various industries, including agriculture, gem trading, and small businesses. Chinese-owned businesses and shops can be found in Chanthaburi, adding vibrancy to the city’s commercial scene.

Chanthaburi, Thailand, has a history of receiving waves of settlers from various backgrounds, and among them were Burmese settlers who played a significant role in the region’s development. Thousands of Burmese Shan people, who are ethnically related to the Thais, migrated to Chanthaburi, Trat, and Pailin Cambodia. These Burmese Shan settlers were instrumental in the development of the mining industry in the region.

The Burmese

The Burmese Shan settlers brought with them their expertise in mining and played a crucial role in the establishment and growth of the gemstone mining industry in Chanthaburi. They actively participated in mining activities and contributed to the exploration and extraction of precious gemstones, including sapphires and rubies.

Their presence in Chanthaburi had a lasting impact on the cultural fabric of the region. The Burmese Shan settlers brought their traditions, customs, and language, enriching the diversity and vibrancy of the local community. Their influence can still be seen today in the local culture, cuisine, and architecture.

The Vietnamese

Chanthaburi, Thailand, has been home to a significant population of ethnic Vietnamese settlers.

Vietnamese migration to Chanthaburi occurred in three distinct waves. The first wave took place in the 19th century when Vietnamese Catholics migrated to escape anti-Catholic persecutions in Cochin China. The second wave occurred in the 1920s to 1940s as Vietnamese individuals fled French Indochina. The third wave happened after the communist victory in Vietnam in 1975. These three waves of migration contributed to the Vietnamese presence in Chanthaburi.

Vietnamese settlers in Chanthaburi have made notable contributions to the local community and culture. They have played a part in shaping the region’s history and development. Their influence can be seen in various aspects, including architecture, cuisine, and cultural traditions. The Vietnamese migrants have added to the diversity and multicultural fabric of Chanthaburi.

The Vietnamese community in Chanthaburi has established their own distinct neighborhoods and cultural institutions. They have preserved their traditions and have been able to maintain their cultural identity while integrating into the broader society. The Catholic Church in Chanthaburi has a significant presence and is closely associated with the Vietnamese community.

The Vietnamese have also made contributions to the local economy. Many Vietnamese individuals in Chanthaburi are involved in various industries, including agriculture, trade, and small businesses. They have brought their entrepreneurial spirit and skills to the region, contributing to its economic growth.

Chanthaburi’s prominence in sapphire mining grew significantly in the mid-1970s when traders from the region ventured to Australia in search of sapphires. During their explorations, they discovered a method of heating geuda sapphire from Sri Lanka. This breakthrough in heat treatment techniques further established Chanthaburi as a global hub for rubies and sapphires.

By the late 1990s, most of the Thai and Cambodian mines had been exhausted, reflecting the intensive mining activities that took place in the region. However, in the early 2000s, there was a revival of small-scale mining in Chanthaburi province, breathing new life into the local gemstone industry. Chanthaburi’s sapphire deposits are highly valued and associated with the province’s unique geological formations.

The Chanthaburi-Trat gem field, often referred to as the “Hill of Gems,” has played a significant role in the region’s mining history. This gem field, which was first reported in 1850, has been a renowned source of sapphires and other precious stones. Mechanized gem mining in Chanthaburi started as early as the 1890s, further highlighting the long-standing mining tradition in the area.

Modern Sapphire mining in Chanthaburi, Thailand has a fascinating history that spans several decades. The region has been renowned for its gemstone trade, particularly in rubies and sapphires. Traders from Chanthaburi have historically ventured to Australia in search of sapphires, and in the mid-1970s, they made a significant discovery. They developed a method of heating geuda sapphire from Sri Lanka, which further solidified Chanthaburi’s position as a global center for rubies and sapphires. By the late 1990s, most of the mines in Thailand and Cambodia had been depleted.

The mining activities in Chanthaburi and the neighboring Trat provinces often originated as a byproduct of agricultural activities. Villagers stumbled upon sapphires and rubies while planting crops, leading to the development of mining operations in the area. Over the past half-century, Chanthaburi and Trat provinces have become famous for their sapphire mines, contributing significantly to the gemstone industry.

The Chanthaburi-Trat gem field, known as the “Hill of Gems,” has been a notable location for gem mining since 1850. This gem field has played a crucial role in the region’s history and has been a significant source of sapphires and other precious stones. Gem mining in the Chanthaburi-Trat area was first reported at Khao Ploi Waen, also known as Pagoda Hill or the Hill of Gems.

In recent years, there has been a small-scale mining revival in Thailand’s Chanthaburi province. The early 2000s witnessed a resurgence of mining activities in the region. Chanthaburi’s sapphire deposits are associated with the province’s geological formations, and this revival has brought renewed attention to the area’s gemstone resources.

To this day, Chanthaburi remains a prominent hub for the gemstone trade, with a reputation for producing high-quality sapphires. The region’s sapphire deposits are highly regarded, attracting gemstone enthusiasts and traders from around the world. Chanthaburi’s unique geological characteristics and rich mining history have contributed to its status as a gem capital in Thailand.

 

The gem market in Chanthaburi

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