Is there any possibility that the price of jadeite will drop?

The current market prices for jade have remained high. Many buyers may be more or less confused about the exorbitant prices of jade. They think, "It's just a piece of stone." The current price is so high, there must be an element of speculation in it. Some buyers also believe that the price of jade will definitely come down, and they want to wait to buy it when the price drops. So is there any possibility that the price of jadeite will drop?

1. There is only one place of origin

There are several countries in the world that produce jade, including Myanmar, Guatemala, Japan, the United States, etc. There are many production areas, but there are very few gem-grade jade. 95% of gem-grade jade in the jade market comes from Myanmar. Moreover, due to hundreds of years of mining, new mines have rarely appeared in Myanmar's production areas, and the resources of old mines that produce high-end jadeite raw stones are almost exhausted, such as the Mogok mine.

2. Mining costs are very high

There are two main aspects to the cost of jade mining. One is the need to purchase mining rights from the Myanmar government, and the other is the labor and machinery costs during mining. In recent years, with the policy restrictions of the Myanmar government, many mining sites have been closed and many mining companies have withdrawn from the mining areas. In addition, the increase in machinery and labor costs has led to an increase in mining costs. The output of jadeite raw stones has become lower and lower, and the price can only increase, not decrease.

3. The probability of raw stones becomes smaller

The story of "one cut makes you poor, one cut makes you rich" can be seen everywhere in jade gambling, but the reality is often that nine cuts make you poor, and one cut makes you rich. Due to large-scale repeated mining, the output of jadeite raw stones is getting lower and lower, and high-end raw materials are already rare. The lower output has led to a greater gambling nature in jadeite raw stones. In order to produce good jadeite, it is often necessary to invest more money.

IV. Market supply and demand imbalance

The large market demand is particularly evident in high-end jadeite. In the domestic market, as long as it is high-end jadeite and the price is reasonable, it can often be sold quickly. Even though the jadeite market is currently depressed, high-end jadeite has no shortage of buyers. The sky-high prices of raw stones sold at the Myanmar public auction a few days ago fully illustrate this point.

5. Excellent material

Jade naturally has beautiful colors and looks great when worn; it is hard and not easy to wear; it has a transparent texture and is very practical; it has stable properties and can be preserved for a long time, so jade is a good choice whether it is for wearing or for collection.

6. The cross-border nature of jade

Jade is different from many colored gemstones. Gemstones can only belong to the field of jewelry, but jade is different. Although jadeite belongs to the field of jade, it can span the field of jewelry. It can be made into traditional jewelry to be worn, made into ring eggs like gemstones, and can also be used for inlay. No matter what the subject matter is, as long as the craftsmanship is exquisite, the artistic value is very high. The uniqueness of jade is reflected in the fact that it can span the two fields of jewelry and jade, which other jewelry and jade do not have.

To sum up, if there is no problem with the jade material itself, there is basically no possibility of jade price reduction, because good material is worth waiting, and those of us who really need it will not wait.