Mae Sot’s gems trade has been hit hard by a US law banning imports from Burma but it’s trying to make a comeback, the Bangkok Post reports.

Local efforts are being made to restore the sparkle and vibrancy to the sluggish trade in gemstones in Mae Sot district.

Yupaporn Laohachai, the 31-year-old owner of Kangwan Sophon Gems shop, displays a piece of jewellery adorned with quartz crystals at the recent Super Sparkle jewellery fair in Tak’s Mae Sot district.

The gem trade here has been hit by the economic slump while a US law banning imports of gemstones from Burma has affected the circulation of precious stones in the district.

Recently, an annual gems fair was organised from Feb 27 and March 1 to give the local precious stones trade a much-needed boost.

The fair was a collaboration between local officials, the provincial chamber of commerce and the provincial industrial council.

The fair was aimed at reinvigorating and promoting the gemstone market in Mae Sot and boosting the skills of gem traders and gem manufacturers.

Tak governor Komsan Akechai said Mae Sot is well known as a gemstone trading centre, given the fact that it borders Burma which is recognised as a source of high-quality precious stones.

The market is teeming with Thais and foreigners shopping for gemstones at shops on both sides of Prasatvithi road in downtown Mae Sot.

There are also a lot of “gem brokers” hired to buy and sell gemstones for profit on behalf of others. The brokers include Thais, Burmese and Nepalese.

Gemstones on the market include uncut lumps of stone varying in size and price.

The Rim Moei gem market in Mae Sot is also popular among shoppers and tourists. It is located near the Thai-Burmese Bridge in Ban Rim Moei in Tambon Sai Luad.

The gem trade in Mae Sot is also linked to trade in Mae Sai in Chiang Rai and Chanthaburi.

Tak governor Komsan Akechai takes a look at jewellery made with precious stones.

Many gem traders from Chanthaburi have moved and now run gem businesses in Mae Sot.

In the early days of the gem trade in the district, Burmese people brought gemstones such as jade, rubies and blue sapphires for sale to merchants. Most stones were in natural, uncut form while cut gems were mostly cabachon – a gem that is polished but not given facets.

Later, when the gem trade began to flourish, new gem-cutting techniques were developed and improved to add quality, sophistication and creativity of design to the gemstones.

Uncut gemstones are sourced mainly from two gem mines in Burma – the Mogok mine north of Mandalay and the Mong Hsu mine south of the Shan state.

The Mogok mine is famous for producing Pigeon’s Blood – one of the world’s finest rubies.

Data from Burma’s ministry of national planning and economic development shows that Burma produces more than one million carats of rubies each year. Between April 2004 and March 2005, the output tripled.

Panithi Tangpathi, chief adviser at the Tak chamber of commerce, said up until 1980, gems were smuggled from Burma through Mae Sot and Mae Sai districts and Chiang Mai.

Mr Panithi said the Burmese government at that time had a monopoly over the gem trade and tried unsuccessfully to ban gem exports along its borders.

In 1985, Burma and China inked a cross-border deal and set up a joint border trade zone.

With the zone in place, the gem trade between the two countries boomed at the expense of gem centres in border towns in Thailand.

Banpot Korkiatcharoen, chairman of the Tak chamber of commerce, said the deal has allowed greater access of Burma’s precious stones such as jade and rubies to China.

China, in turn, can enjoy a larger share of Burmese gemstone imports than Burma’s other neighbouring countries, Mr Banpot said.

Most of the gems and jewellery that are available in major world markets are currently exported through China, Mr Panithi said.

The United States last year passed the Jade Act of 2008 banning direct imports of rubies, jade and any accessories decorated with stones originating from Burma via other countries.

The law has had ripple effects throughout the international gem markets as most uncut gems come from Burma.

A member of the Gem and Jewelry Institute of Thailand examines gemstones in a mobile lab.

Officials at the Gem and Jewelry Institute of Thailand (GIT) said the law is aimed at stemming the flow of money to the Burmese military junta.

GIT officials said gem traders have had to import uncut stones from countries in Africa and from Costa Rica.

Gem traders in Rim Moei market have complained that customers have been few and far between and that gem fairs and related events are needed to turn around the quiet local trade.