Gemstone Operators Seek Export Reforms, Local Processing

By Atlantic Reports

Nigeria’s gemstone miners and dealers have called for simpler export procedures, stronger action against smuggling and investment in local cutting and polishing to increase earnings and create jobs.

The President of the Gemstone Miners and Marketers Association of Nigeria (GMAN), Adeniran Ajibade, made the recommendations on Wednesday in Abuja, on the sidelines of the 11th Nigeria Mining Week.

Ajibade estimated that the sector could generate about US$3 billion in trade. That figure represents the association’s assessment of potential, rather than recorded export earnings. He did not provide a timeframe or the calculation behind the estimate.

He said Nigeria had diverse, high-quality gemstones across the country, with production largely undertaken by artisanal and small-scale miners.

Smuggling Obscures Earnings

Ajibade said a baseline study conducted by GMAN across northern and southern Nigeria had identified widespread gemstone resources.

However, he said smuggling made it difficult to establish how much the industry contributed to the economy.

“It generates hard currency, so it will boost our foreign exchange earnings, and, of course, much of it may not be reflected because there is some very high level of smuggling,” he said.

He said Nigerian gemstones had reached international markets including Tucson, Bangkok, Hong Kong, Israel and India, despite limited mechanisation and domestic processing.

Ajibade urged the government to involve miners and dealers in developing export regulations, arguing that operators understood the practical barriers facing legitimate trade.

He called for transparent and efficient procedures through which international buyers could purchase and export Nigerian gemstones.

Keeping More Value in Nigeria

Ajibade sought government support for feasibility studies, processing and branding to strengthen the competitiveness of Nigerian stones.

“Once we add value to it and we do the branding, definitely we can achieve great results for the nation,” he said.

He also called for the full activation of the Federal Government’s International Gemstone Centre in Ibadan as a hub for miners, dealers, investors and buyers. He did not detail its current operating capacity or the resources required to make it fully functional.

According to Ajibade, GMAN is collaborating with the Thailand Gem and Jewelry Traders Association and stakeholders from Brazil, India and Sri Lanka to exchange expertise and expand market access.

He said the association was ready to work with government and private investors to attract international gemstone and jewellery businesses.

Processing Skills and Better Records

Prof. Akinade Olatunji, immediate past President of the Nigerian Mining and Geosciences Society, also advocated stronger domestic processing capacity.

The Applied Geochemistry professor said Nigeria had produced high-quality gemstones in states including Plateau, Nasarawa, Oyo and Kaduna, but inadequate records had limited understanding of the industry’s economic value.

“Unfortunately, we don’t keep records,” he said.

Olatunji urged Nigeria to retain more of the value generated by cutting and polishing, rather than exporting rough stones for processing in countries such as Thailand.

He said developing these activities locally could create employment for young Nigerians. He also encouraged geology and mining engineering graduates to gain practical field experience and pursue careers in the sector.

Discussions at the mining week’s panel on “Developing Nigeria’s Gemstone Value Chains” centred on processing, skills and branding.

The recommendations point to two connected priorities: making legitimate trade easier to track and building the capacity to process stones locally. Reliable production and export records will also be necessary to establish the scale of the opportunity and measure progress towards it.

Atlantic Reports: Voices. People. Facts.