By Enyichukwu Enemanna
Gemfields, a company specialising in the production of coloured gemstones, has called on the Zambian government to reverse the recently reintroduced 15% tax on emerald exports, citing its potential impact on the sector.
Emerald, a scarce mineral deposit, is a transparent, bright green gemstone containing trace amounts of chromium or sometimes vanadium. It is a valuable component in the production of jewellery.
Zambia, the world’s second-largest emerald producer after Colombia, reinstated the tax on January 1, 2025, after its suspension in 2019.
However, Gemfields warns that the tax’s reinstatement could severely affect the sector.
“The company will engage with the Zambian government to seek the reintroduction of the suspension of this export duty or to remove it from the legislation given the impact on sector sustainability and investment attractiveness,” Gemfields stated.
The company, which also owns the Fabergé jewellery brand and a ruby mine in Mozambique, operates the Kagem emerald mine in Zambia, one of the largest in the world.
Guernsey-based Gemfields, a miner and marketer of coloured gemstones, explained that Guernsey is a semi-autonomous island in the English Channel between the United Kingdom and mainland Europe. It is not a politically independent country but is also not strictly part of the United Kingdom.
In 2023, Kagem paid an effective 31% of its revenues to the Zambian government through mineral royalties, corporation tax, and dividends.
Gemfields owns 75% of Kagem, with the Zambian government holding the remaining 25%.
According to Gemfields, between 2009 and 2023, the Kagem mine generated a cumulative $1.1 billion in revenue from emerald sales.
