GEMSTONES1/ (Data in million dollars, unless noted) Domestic Production and Use: Output of natural gemstones was primarily from Tennessee, Alabama, Arkansas, North Carolina, Oregon, and Arizona. Output of synthetic gemstones was primarily from 14 firms; 4 in Arizona, 3 in California, and 1 each in Massachusetts, Michigan, New Jersey, New Mexico, North Carolina, Ohio, and Washington. It was estimated that visitors found 185 carats of diamonds in the Crater of Diamonds State Park in Arkansas. There was considerable production of freshwater pearls in Tennessee; turquoise in Arizona and Nevada; beryl, tourmaline, and amethyst in Maine; tourmaline, beryl, kunzite, and garnet in California; and sapphire in Montana. Major uses were jewelry, carvings, and gem and mineral collections. Salient Statistics--United States: 1991 1992 1993 1994 1995e/ Production: Natural2/ 84.4 66.2 57.7 50.5 75.5 Synthetic 17.9 18.9 18.1 22.2 24.4 Imports for consumption 4,640 4,950 5,850 6,440 6,520 Exports, including reexports 1,710 1,450 1,630 2,240 2,510 Consumption, apparent 3,030 3,480 4,300 4,270 4,110 Price Variable, depending on size, type, and quality Stocks, yearend3/ NA NA NA NA NA Employment, mine4/ 800 800 1,000 1,000 850 Net import reliance5/ as a percent of apparent consumption 97 98 98 98 98 Recycling: Insignificant. Import Sources (1991-94 by value): Israel, 28%; India, 25%; Belgium, 15%; United Kingdom, 5%; and other, 27%. Diamond imports were about 90% of the total value of gem imports. Tariff: Item Number Most favored nation (MFN) Non-MFN6/ 12/31/95 12/31/95 Diamonds, unworked or sawn 7102.31.0000 Free Free. Diamond, less than 1/2 carat 7102.39.0010 Free 10% ad val. Diamond, cut, more than 1/2 carat 7102.39.0050 Free 10% ad val. Precious stones, unworked 7103.10.2000 Free Free. Precious stones, simply sawn 7103.10.4000 21% ad val. 50% ad val. Rubies, cut 7103.91.0010 Free 10% ad val. Sapphires, cut 7103.91.0020 Free 10% ad val. Emeralds, cut 7103.91.0030 Free 10% ad val. Other precious, cut but not set 7103.99.1000 2.1% ad val. 10% ad val. Other precious stones, other 7103.99.5000 21% ad val. 50% ad val. Imitation precious stones 7018.10.2000 2.8% ad val. 20% ad val. Synthetic cut, but not set 7104.90.1000 3.1% ad val. 10% ad val. Pearls, natural 7101.10.0000 Free 10% ad val. Pearls, cultured 7101.21.0000 2.1% ad val. 10% ad val. Pearls, imitation not strung 7018.10.1000 8% ad val. 60% ad val. Depletion Allowance: 14% (Domestic), 14% (Foreign). Government Stockpile: The National Defense Stockpile (NDS) does not contain an inventory of gemstones per se. However, portions of the industrial diamond inventory are of near-gem or gem quality. Additionally, the beryl and quartz inventories contain some gem-quality materials and the inventory of synthetic ruby and sapphire could be used by the gem industry. The Defense Logistics Agency is currently disposing of materials from the NDS. Prepared by Gemstones Specialist (703) 648-7721. GEMSTONES Events, Trends, and Issues: In the past, except for a few gem diamonds found each year in Arkansas, U.S. diamond production was insignificant. However, test mining is underway at two mines in the Colorado-Wyoming Stateline district. Domestic commercial gemstone production includes agates, beryls, freshwater pearls, garnets, jade, jasper, mother-of-pearl, opals, peridot, quartz, sapphire, tourmalines, and turquoise. Significant steps are being made in the marketing of lines of jewelry made with U.S. gemstones. Exploration for diamonds continues in Alaska, Colorado, Michigan, Minnesota, Wisconsin, and Wyoming. The second phase of the diamond exploration project, bulk sampling, at the Crater of Diamonds State Park in Arkansas has been approved. Significant diamond exploration efforts by multiple companies continued in the Northwest Territories of Canada and in several areas in Australia. World Mine Production,7/ Reserves, and Reserve Base: Mine production Reserves and reserve base8/ 1994 1995e/ United States -- -- World reserves and reserve Angola 270 300 base of gem diamond are Australia 19,500 20,000 substantial. No reserves or Botswana 11,000 11,000 reserve base data are Brazil 600 600 available for other gem- Central African Republic 370 400 stones. China 230 250 Ghana 580 600 Namibia 1,280 1,300 Russia 8,500 8,500 Sierra Leone 155 200 South Africa 5,000 5,000 Venezuela 220 200 Zaire 4,000 4,000 Other countries 5,230 5,300 World total (rounded) 56,900 57,700 World Resources: Most of the world gem diamond reserves are in southern Africa, Russia, and Western Australia. Estimation of a reserve base is now difficult to determine because of the changing economic evaluation of near-gem materials and new discoveries in Australia, Canada, and Russia. Substitutes: Plastics, glass, metals, wood, paper, and other materials are substituted for gemstones. Synthetic materials that have the same appearance and chemical and physical properties are substituted for natural gemstones. Simulants are materials of similar appearance, but with different chemical and physical properties, that are substituted for natural gemstones. e/Estimated. NA Not available. 1/Excludes industrial diamond and garnet. See Diamond (Industrial) and Garnet (Industrial). 2/Natural includes production of freshwater pearls, natural and cultured. 3/Stocks data are not available and are assumed to be zero for apparent consumption and net import reliance calculation. 4/Estimate includes operators of fee site deposits. 5/Defined as imports - exports + adjustments for Government and industry stock changes. 6/See Appendix B. 7/Data in thousands of carats of gem diamond. 8/See Appendix C for definitions. Mineral Commodity Summaries, January 1996