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SCMP Reporter

Mainland market's growth  linked to new vacancies
Once a luxury available to  only a few,  gemstones are now the  item of choice for birthdays, anniversaries or even impulse buys.
With cash-happy shoppers, a surge in consumer confidence  and increased demand for sparkling stones  in the mainland,  the future is  glittering for  gemologists who sort, grade and sell diamonds and other precious stones.
Mimi Ouyang Chiu-mei,  founder and managing director of the Hong Kong Institute of Gemology  (HKIG) and the Hong Kong Gems Laboratory,   a local gemological school and laboratory, said Hong Kong's status as a tax-free port had made it a major distribution and manufacturing centre for jewellery.
In the past, the SAR was plagued by a lack of top quality gemstones and  the sale of imitation and treated gemstones by shortsighted merchants.
'As a result, the consumer lost confidence and the market was driven into chaos,' Ms Ouyang said.
This led to the establishment of professional gem-testing laboratories, developed  to stabilise the market and regain  consumer confidence.
Increased customer awareness of the importance of gem-testing by government-approved laboratories has been another fillip.
'Hong Kong's gemologists and jewellery professionals are the foundation of its well-developed jewellery market today,' Ms Ouyang said.
Potential gemologists are  advised to undertake professional gemological qualifications. These include two-year diplomas from globally recognised operations such as the Gemological Association of Great Britain  or the Gemological Institute of America,  and  local alternatives such as the diploma course organised by the HKIG.
'However, in order to be issued a certificate, one should also have at least five years of experience in a gemology-related laboratory,' Ms Ouyang said.
Thanks to the challenge of advanced treatment and enhancement technology, lab-based gemologists are constantly required to update their techniques and improve their testing skills.
Marc Brauner,  chief executive  of the International Gemological Institute in Hong Kong,  one of the city's leading gemological institutes, said the vital ingredient for success in this field  was an all-consuming passion.
'There is nothing worse than to gain expertise if you don't have an interest. You must have an appetite for gemstones,' Mr Brauner said.
Not only is  enthusiasm a must, but gemologists must be prepared to specialise.
'Gemology is a vast territory, as you can specialise in diamond grading or, for example, highly scientific issues such as the identification of treatments or synthetic materials,' he said.
A gemological career demands appropriate professional qualifications, and local prospects are encouraging.
'Opportunities exist for people who are passionate and wish to join the industry - there are certainly employment opportunities,' Mr Brauner said.
In particular, openings are closely allied to the rapid growth of the mainland market.
Ms Ouyang said: 'Hong Kong's jewellery business enjoys the advantage of an international design sense, compared to the mainland. However, the manufacturing chain has moved to the mainland due to lower labour costs.'
Outside the laboratory  opportunities are also rife for gemologists with professional qualifications and experience.
Lawrence Ma Yung-yi,  president of the Diamond Federation of Hong Kong, China,  said the Hong Kong jewellery retail business had experienced healthy growth over the past year. This was thanks to local economic growth and  the mainland visitors' taste for jewellery shopping in the special administrative region.
With further relaxation of regulations on individual visits to  Hong Kong and continued strong economic growth across the border, healthy growth in the retail jewellery business is highly likely in the longer term.
'According to figures from the Hong Kong Tourism Board, spending of tourists and mainland visitors on jewellery in Hong Kong reached HK$6.21 billion in 2006, an increase of 5.2 per cent from 2005,' Mr Ma said. He  is also executive director of Lee Heng Diamond Group,  which operates a diamond wholesale and diamond jewellery retail business in Hong Kong and in the mainland.
In the mainland, rising imports of polished diamonds are an indicator of  retail success.
'According to figures from the Shanghai Diamond Exchange,  imports of polished diamonds into China were valued at US$76 million in the first quarter of this year, a 188 per cent increase over last year's figures,' Mr Ma said. Both the rise in purchasing power  and the annual surge in spending - with retail sales rising almost 14 per cent in 2006 - are thought to lie behind these figures.  The question retailers are   facing is  how to capitalise on this spending.  power.
'As consumers become more knowledgeable, supplying them with the right merchandise and educating them to make the right buying choice is critical to the success of a retail business,' he said.
Knowledgeable consumers are forcing the industry to equip staff with greater know-how in order to satisfy their customers.
Key players
Scientific analyst
Colour and clarity grader
Quality control officer
Jewellery grader
Gemologist
Customer relations officer
Jargon
Mazal a Hebrew expression meaning 'done deal', used to binding effect in the diamond industry when two parties go through a transaction
Pointers usually refers to sizes of diamonds weighing less than one carat and more than one-third of a carat
Grainers a term that refers to a quarter of a carat; thus, 'four grainers' are one-carat diamonds, and 'eight grainers' are two-carat diamonds
Life the life of a stone defines the sparkle, a combination of brilliance, dispersion and scintillation, of mainly diamonds but also other precious stones
Rough a diamond which has not been polished yet
Sight-holder an organisation purchasing its rough diamonds directly from a diamond trading company such as De Beers Group



Sparkling future for career in gems