Why are gemstones valuable?

We all need to understand that whatever said and done, diamonds are the hardest mineral on earth and it takes more than 250-300 + tons of ore to produce after finding a rough stone and get a 1.00 Ct gem quality diamond.

The large scale mining projects accross the world controlled by large diamond mining corporations, invest billions of dollars every year to produce and control the supply chain as in the end they know the demand for diamonds will not reduce by the end consumer. The marketing skills & tactics which was used by De Beers many years ago has spread across the globe and it is quite difficult to turn it around. We have to admire their skills and idea's to create a monopoly trading industry, which conquered the world and started a trading system for everyone to make fair amount of profit rather than ripping off the consumer hard earn wealth.

Of course in the end the people who made this monopoly trading system are making a lot money and have generated a power where they can control countries and even governments. There are things in this world where we cannot control or change as if even try the system it self will eat us alive.

So as mentioned on one of the blogs I was reading,diamonds & precious stone trading is the 2nd oldest trade after prostitution (take it or leave it) and the diamond trade is in the driving seat currently and will be for the coming years.

So if you consider all the above factors about diamonds, of course the stones are going to be expensive. Mining cooperations, diamond manufacturers & wholesalers, retailers, brokers, high street jewelers etc.. will make the price for a diamond to be expensive due to obvious reasons.