Apart from other natural resources such as gold, silver, oil and gas, Pakistan is blessed with huge reserves of precious stones worth billions of dollars but most of the resources are untapped due to poor infrastructure, law and order and apathy of the government to announce a package for the stakeholders associated with this business. Despite all odds, the country earned $1.3 billion in 2013 by exporting gem and jewelry to other countries and has the potential to earn $2 billion annually if it turns the raw stones into value added goods. There is a need to use modern technology to dig out stones and also a combination of man and machine to produce exportable product.
The Pakistan Gems and Jewelry Development Company was set up in Peshawar to impart skills among traders in cutting and polishing of gemstones through scientific means. However, the government has failed to announce a specific policy to boost gems trade. As a result, the export of precious stones is allowed in tonnes rather than pieces. The buyers from the United States, Thailand, France, Germany, Malaysia, Singapore and Dubai buy raw stones such as emeralds, rubies and lapis lazuli, from Pakistan in kilos and sell them back in the country as finished products. However, exports have declined to only around $ 7.846 million during one year from July 2014 to June 2015. According to the Trade Development Authority of Pakistan, it is trying its best to explore new markets to increase the exports of precious stones from Pakistan. The authority organizes Expo Pakistan every year in which around two dozen local firms participate and exhibit their products to foreign buyers.The involvement of private sector is very important to boost trade and many companies are engaged in mining, cutting, polishing and marketing of the precious stones. Most of the gemstone reserves are situated in Khyber-Pakhtunkhwa, Gilgit-Baltistan, Federally Administered Tribal Areas, Azad Kashmir and Balochistan. There is also need to engage local craftsmen in the business. The graph of the gem exports has been nose diving for the last one year due to law and order, electricity crisis and lack of interest of the stakeholders to use modern technology.
There is great resentment among the people living in gem producing areas as they are not being given a due share in the business. No one can help them, but the government which has the resources to involve them in the trade. The provincial governments are also responsible for the situation as the officials concerned are not doing their jobs despite drawing heavy salaries and perks.
