GEMSTONES & PROCEDURES

The purchase of gemstones — rough or cut — is generally allowed for both private individuals and companies.
However, professional trading may require specific compliance procedures.

Key points include:

• AML/KYC obligations for high-value transactions
• Customs regulations depending on the destination country
• documentation and certification requirements
   
• licensed intermediaries for commercial operations
   

Each transaction follows the compliance standards required under the DPMS regime in Malta and international due-diligence guidelines.

Buying gemstones follows a structured and transparent process:

The Buyer specifies:

• type of gemstone
   
• carat range / quality range
   
• certification requirements
   
• delivery destination
   
• preferred payment terms
   

For professional transactions, the Buyer issues an LOI including:

• company details
   
• product specifications
   
• quantity / budget
   
• delivery terms
   

The Seller provides:

• gemstone details
   
• photos / videos
   
• certification copies
   
• pricing and availability
• validity of the offer
   

Depending on value:

• professional photos and videos
   
• third-party gemmologist inspection
   
• verification of certifications (GIA, IGI, GRS, SSEF, etc.)
   

Defines:

• product
   
• price
   
• payment method (TT / escrow / bank instrument for large lots)
   
• delivery method (hand-carry / secure logistics)
   
• inspection rights
   

Upon payment confirmation:

• shipment is executed via secure logistics
   
• hand-carry delivery is possible for specific destinations
   
• all documents and certificates are delivered with the goods

Gemological analysis identifies and evaluates gemstones using precise laboratory instruments such as:

• microscope  
• refractometer  
• spectroscope  
• polariscope  
• UV fluorescence equipment  

This examination determines:

• identity and authenticity  
• treatment status  
• clarity and inclusions  
• structural integrity  
• origin indicators (for certain stones)

Recognised laboratories include:

• GIA 
• IGI 
• GRS 
• SSEF 
• AGL 
• Lotus Gemology 

A certification typically reports:

• identity  
• carat weight  
• colour description  
• clarity  
• cut  
• treatment status  
• origin (when determinable)

 Some gemstones — such as sapphires, rubies and emeralds — may include an origin opinion in their report.This opinion is based on:

• inclusion patterns  
• chemical composition  
• spectroscopic analysis  
• comparison with laboratory reference samples  

Origin is an important value factor for many gemstones. 

 Traceability describes the full documented journey of a gemstone:

• sourcing information  
• export permits  
• cutting and polishing records  
• certification  
• transport documentation  
• customs clearance  
• final delivery to the buyer  

This ensures:

• ethical sourcing  
• transparency  
• regulatory compliance  

Pricing depends on several factors:

• type and rarity  
• colour (hue, saturation, tone)  
• clarity  
• cut and proportions  
• carat weight  
• treatment or no-treatment  
• origin  
• market demand  

High-quality untreated stones command the strongest premiums. 

Common treatments include:

• heating (sapphires and rubies)  
• oiling (emeralds)  
• diffusion  
• fracture filling  
• flux healing  

All treatments must be disclosed. Untreated stones of fine quality are significantly more valuable.
 

Depending on the transaction:

• company registration  
• export licence (when required)  
• invoice / packing list  
• certification from recognised labs  
• photos and videos  
• origin documentation (when available)  
• AML/KYC documents for compliance
   

 For compliance:

• company registration or ID documents  
• proof of authority for the buyer’s representative  
• AML/KYC information  
• LOI for professional transactions  
• proof of funds for high-value operations
   

 Delivery can be arranged through:

• secure insured couriers  
• specialised high-value logistics  
• bonded carriers  
• professional hand-carry services  

Documents provided may include:

• certificates  
• invoices  
• packing lists  
• customs declarations  

Delivery terms are defined contractually.
 

 An escrow account ensures security during the transaction:

• Buyer deposits funds  
• Seller delivers the gemstones  
• Funds are released only when inspection conditions are fulfilled  

Escrow is recommended for high-value or international transactions.
 

The Seller may require:

• identification of the Buyer  
• verification of beneficial ownership (for companies)  
• source-of-funds checks  
• risk assessment depending on value and jurisdiction  

No transaction can proceed without meeting the required compliance standards.