There is one thing that the Zambian government has in common with the Russian precious metals and gems repository, GOKHRAN.
They are both concerned with where gems mined in their countries are sold.
Just last week, the Zambian mines minister Yamfwa Mukanga announced that the selling of local precious stones would only be conducted in the country, effectively banning international auctions.
"The government is currently working out mechanisms to ensure that all gemstones are sold within the country in a manner that will ensure maximum benefits for the country," he said. "Mining companies in the gemstone sector are urged to abide by the government’s directive to auction gemstones within the country.
"Zambian gemstones have for a long time been sold on foreign markets, a situation that has contributed to capital flight and denied Zambians the much-needed benefits from the resource.”
Thousands of miles away from the southern African country were also reports that GOKHRAN had refused to allow a unique 47.48 carats diamond mined by Alrosa out of the country.
It blocked seven similar deals since the late 1990s, claimed Russia Today.
Alrosa wanted to sell the stone at a Sotheby's auction.
Kommersant Daily quoted Alrosa president Fyodor Andreev as saying that the stone was not initially put into the category of unique stones and wanted GOKHRAN to change its mind.
Unlike Alrosa, which was only barred from selling “unique” gems outside Russia, Gemfields, which mines emeralds at Kagem mine, north of Zambia was facing a wholesale export ban of its emeralds.
It expressed fear early this week of a potential revenue loss should Lusaka refuses to take a softer line from its pronouncement.
Gemfields said it would be no longer in a position to freely sell its gemstones in markets where the best prices are obtained.
It said that the informal emerald market in Zambia could thrive, which would potentially hold back competitive prices at the auctions.
The gemstone miner estimated that a quarter of emeralds were stolen and ends up in informal markets.
Zambia was the third-largest producer of emeralds behind Colombia and Brazil.
Speculators suggested that the Zambian government was emulating the model set by Botswana.
Botswana signed a sales and marketing agreement late 2011 with De Beers that inter-alia allowed the southern African country to set up sorting, aggregation and selling operations in Gaborone.
The move was expected to boost the country’s financial and tourism sectors as buyers flock into Botswana to buy diamonds.
However, Gemfields executive director Sean Gilbertson told South Africa’s Business Day that Zambia was not of a size like Botswana, the richest producer of diamonds, to follow a similar model that would lure buyers from around the world regularly.
"De Beers is the 800-pound gorilla in the diamond market. Zambia cannot make that same claim. It doesn’t have the same clout in the emerald market that Botswana does in diamonds," he quipped.
"We were taken aback by the announcement on Friday. It’s a pretty big shock for us and it clearly took us by surprise."
Gemfields chief executive Ian Harebottle said that these developments potentially endangered the health of the sector immediately after it had begun to deliver meaningful positive results on behalf of stakeholders.
He said under Gemfields’ ownership, revenue had grown strongly, rising from $11 million in June 2009 to $77.6 million in June 2012, making the company a taxpayer for the first time last year.
Gilbertson also noted that Gemfields sent all the money made from its sales from Kagem back to the mine and keeps the government informed of proceeds from the sales, with a government official attending each auction.
He expressed shock at below the belt attacks made by the mines minister on Gemfields.
"Where these allegations of capital flight come from are completely beyond me," he said. “As far as Gemfields knows, it is the only company selling Zambian emeralds on auction internationally.”
Andreev was said to have written to GOKHRAN to change its mind and Gilbertson was also set to meet the Zambian mines minister to try and persuade him from re-thinking their position.
Whether the two would succeed in their not so different endeavours, was a matter that should be left to soothsayers.
For now all one can say was that Zambia and GOKHRAN’s decisions have left Gemfields and Alrosa respectively in a fix, although their levels of stress differ.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough & Polished
