This article first appeared in the GEMSWORLD 2025.

Spinel is experiencing a resurgence in demand, reaffirming its significance in the global market. Over the last decade, it has witnessed a tremendous rise in popularity.

Constantin Wild, managing director of Idar-Oberstein-based Constantin Wild GmbH & Co KG, explained that spinel once had a negative connotation due to the proliferation of manmade versions that were surreptitiously used as substitutes for sapphires.

He noted, “Around 40 years ago, you could buy parcels of solid or mixed-colour spinel stones for about US$20 per carat. This changed dramatically as companies began promoting the stone. Cutting techniques were improved to enhance spinel’s qualities. It is a hard stone with high refractive properties, so it sparkles beautifully with the proper cut.”

Primary sources of spinel are Myanmar, Sri Lanka and Thailand. Myanmar is the premier source of Jedi spinel, which is characterised by flaming neon red to pink hues without dark tones or major clarity defects. Other notable sources include Pakistan, Afghanistan, Tajikistan, Tanzania, Vietnam, Madagascar and Russia.

In recent years, spinel from Tajikistan has gained prominence in the gemstone world. The historic Kuh-i-Lal mine in Tajikistan's Pamir Mountains has been celebrated for producing some of the world’s finest red and pink spinel stones, many of which adorn royal crown jewels.

Sourcing challenges

According to Dzhamshed Gulmamadov, manager at spinel specialist Pamir Gems Co Ltd, the Kuh-i-Lal mine in Tajikistan has been closed for nearly eight years, leading to a price hike of around 20 per cent for Tajikistan spinel post-pandemic. With limited supply from this region, dealers turned to spinel stones from Myanmar, Sri Lanka, Madagascar and Tanzania to meet market demand.

Finding high-quality spinel, meanwhile, is a major challenge, specifically rough stones. Brieuc Taymans, owner of Taymans Fine Gems, commented, “Vendors at the mines are demanding higher prices amid tough competition. Parcels are getting smaller while costs continue to rise. It is hard to get gem-quality stones above three carats.”

As high-quality gemstones become harder to source, prices do not always reflect the stones' true value. Gulmamadov explained, “Clients may demand a certain quality, and while colour and other factors are a go, the price can be prohibitively high, making spinel a bit challenging to sell in the market.”

Supply, specifically from Myanmar and Tanzania, is limited. “By the time these gems enter the supply chain, they are already expensive. Our cutting technique also increases costs, further jacking up the price,” he added.

Pricing of spinel is primarily determined by colour, cut and clarity, rather than origin as is often the case with ruby and sapphire, Gulmamadov said.

Cobalt spinel is the exception to this rule. Cobalt spinel from Vietnam is highly sought after for its exceptional neon blue colour. Brieuc of Taymans Fine Gems, who frequently visits Vietnam to buy spinel, said mining in Luc Yen continues to produce red and pink varieties. However, cobalt spinel from the region remains extremely scarce. “These are typically small, included stones, so finding larger ones is rare, although mining is ongoing,” shared Brieuc.

In 2022, a new cobalt spinel deposit was discovered in Mahenge, Tanzania. This stone tends to contain more iron, resulting in a darker hue.

“Mahenge cobalt spinel shines in larger sizes,” said Sabrina Leong, head of Marketing and Communications of spinel dealer Mahenge Gems. She noted a shortage in high-quality hot pink varieties, and while these do not command the exceptionally high prices of large cobalt spinel, prices for top-quality pink spinel can still reach US$20,000 per carat.

Beloved shapes

Pamir Gems typically works with spinel stones of 1.5 carats and up, with 5-carat stones in various colours and cuts moving fast. For Gulmamadov, classic cushions and emerald cuts are popular. He added, “We also enjoy modifying classics into more modern styles like cushion cut with defined edges. This approach creates a different visual effect, enhancing brilliance.”

As a gem cutter, Wild is dedicated to cutting spinel in a way that fully reveals its potential, adding that traditional cuts such as cushion, oval and octagon are timeless while fancy shapes, especially on expensive stones, are trendier.

For his part, Brieuc said emerald cut alongside elongated and square cushions are also favoured in the market.

Spectacular colours

Red spinel is always highly sought after, according to Wild. “I purchased red spinel jewellery in Burma (Myanmar) about 35 years ago. I removed the stones, recut them and sold all for about US$100 per carat within a month. Today, those same stones would be worth around US$15,000 to US$20,000 a carat,” shared Wild.

Other colours are likewise performing well. The recent discovery of Tanzanian spinel has provided a consistent supply of extremely rare, top-quality bright pink stones. Brieuc said Europeans are mostly interested in reddish, pinkish and orangey-pink spinel, including those that fall in the padparadscha colour range.

According to Leong of Mahenge Gems, spinel prices across all colours have stabilised following several years of double-digit increases. Production levels for red and pink spinel are slow but steady. Demand for vibrant, clean stones of 3 carats and above also remains high. She explained, "Our clients are drawn to hot pink gems – these are always the first to go. We have sold every clean hot pink stone, especially three carats and up, that we offer at trade shows.”

Clients are willing to overlook visible inclusions in red and hot pink spinel if vibrancy and saturation are exceptional. “Chinese and Hong Kong buyers are open to buying slightly less clean stones because they love the glow these gems offer, even with minor inclusions,” Leong noted, adding that cutting and the inherent quality of the crystal in the rough are major factors.

Meanwhile, Gulmamadov said preferences vary by region, with China opting for vibrant neon and striking red and hot pink colours in fine qualities. Purple and pastel colours are not as popular as consumers often struggle to appreciate their value. “Customers need education and awareness of these colours before they feel comfortable paying higher prices for them,” he said.

Europeans, however, like pastel colours given the region's dimmer lighting conditions, which influence the stone’s appearance. Gulmamadov explained, “Darker stones can appear dark in this light, making them challenging to sell. In contrast, pastel colours shine in these conditions.”

Pamir Gems’ primary markets are Europe and the US followed by Asia.

A vibrant alternative

Spinel’s wide range of colours and more affordable price compared to ruby and sapphire are making it increasingly popular among jewellers and their clients.

Brieuc commented, “There is growing awareness of spinel in Europe. People seek more unique stones and often choose spinel over sapphire, even as its prices rise and begin to rival those of sapphires. Spinel shares many characteristics with sapphires, but its unique range of colours sets it apart, making it distinctive and intriguing.”

Leong observed that some Chinese buyers interested in spinel are looking for alternatives to ruby and sapphire, adding that they do not fully understand pricing, but this has improved over the last few years. She also sees potential for jewellery designers to use cobalt spinel as an alternative to sapphires. “It has the wow factor and rarity. It is a conversation starter, much like alexandrite,” she continued.

Spinel offers colours that are rarely found in other gemstones. As consumers increasingly seek distinctive items, luxury is becoming synonymous with exclusivity and individuality. Brieuc said spinel has a bright future, thanks to its vibrant pink and reddish-pink colours that are not commonly found in sapphires or rubies.

“Spinel is not the easiest stone to sell. However, for connoisseurs and those seeking unique pieces, it presents a great opportunity. With limited supply, spinel is a rare stone and makes for a solid investment," noted Brieuc.