Jade mining has resumed in full swing in Hpakant in Burma's Northern Kachin State a couple of weeks ago, after military tension between the Burmese Army and the Kachin Independence Army (KIA) ebbed somewhat, said local sources.
With tension escalating the junta forced the jade mining companies to stop their activities in August, said residents of jade land.
Palpable tension was in evidence after the junta broke a ceasefire agreement and captured Laogai, the headquarters of ethnic Kokang rebels also called the Myanmar National Democratic Alliance Army (MNDAA) in Northeast Shan State on August 24. The Kokang is a military ally of KIA, said sources.
"Jade companies started mining activities in full swing over a couple of weeks ago. Mining activities were stopped for over two months following escalating tension between the KIA and the junta," a resident of Hpakant jade mining city told KNG.
Hundreds of jade mining companies dot Hpakant. However all jade mining activities are done under joint ventures with the military regime according to the junta’s 1995 Myanmar Gemstone Law.
In keeping with the regime's law, companies have to sell their jade stones through the junta-organized regular jade emporia in Rangoon and 40 per cent of sale proceeds from every piece of jade automatically go to the regime, said jade company sources.
The Burmese junta seized Hpakant jade land and started controlling jade sales after it signed a ceasefire agreement with the Kachin Independence Organization (KIO), the political-wing of KIA on February 24, 1994. Before, most Hpakant jade mining activities were controlled by the KIO.
The last junta-sponsored gem emporium was held from June 11 to July 4 without any announcement. However, the junta earned more than 209 million Euros ($292 million) from the sale of jade only, despite a U.S. ban on its import, according to jade merchants.
Burma is one of biggest producers of jade and other gems in the world, as well as 90 per cent of rubies. It annually earns its third largest revenue from export of jade and other gems.
The junta will launch another mid-year gem emporium in Rangoon for selling quality items of jade, gems, pearls and jewelry in October-November this year, according to the Chinese state-run Xinhua.
