Myanmar earns $292 million from jade sales

News - Business Source > Associated Press Tuesday, 07 July 2009 22:55

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Military-ruled Myanmar earned more than 209 million euros ($292 million) from the sale of jade at a government-sponsored gems show despite a U.S. ban on their import, a merchant said Tuesday.

Nearly 5,500 lots of jade were sold through competitive bidding at the 13-day auction, with most of the buyers from China, said one of the participants, who spoke on condition of anonymity for fear of government reprisal. The event was attended by more than 5,000 local and foreign gem merchants, the participant said.

The military regime, which normally trumpets the annual emporium, has made no announcement about the June 22-July 4 event.

Myanmar is one of the world's biggest producers of jade and other gems, as well as the source of up to 90 percent of its rubies.

The United States last year signed legislation banning the import of gems from Myanmar as part of sanctions against the country. Because of U.S. economic sanctions imposed on Myanmar in July 2003, which froze all U.S. dollar remittances to the country, international business transactions _ including gem sales _ are carried out in euros.

"Despite the gems ban and (world) economic crisis, 72 percent of jade lots displayed at the emporium were sold," said the merchant.

The largest contingent of buyers, nearly 3,000, came from China, the main market for Myanmar jade.

Most of the jade belongs to private businesses and the government takes a 10 percent tax from sales.

Organized by the Mines Ministry, gem auctions are a major revenue earner for the ruling junta, which faces International condemnation because of its poor human rights record and failure to hand over power to a democratically elected government.