Decreasing demand, rising costs post challenge to coral business

This article was written by Graham Norris and published by the Taiwan Journal on December 30, 2005. It reports that in recent decades Taiwan has made significant contribution to the world jewelry trade with its coral jewelry making.

Only certain types of coral are used for jewelry, particularly red and pink coral. The most rare and expensive is black coral, which is gold-colored inside. After being heated, chemically treated and polished, coral can take on a wide range of lustrous appearances and become extremely attractive. Although Taiwanese people traditionally prefer jade than coral, there is still high demand.

Most of Taiwan's high-quality red and pink coral has been exported to Japan. However, in recent years Taiwan's coral business has been under pressure as demand for red and pink coral is on the decline. More damaging is the increase in cost. As a consequence of over-harvesting during the heyday of Taiwanese coral jewelry making in the 1970s, coral suitable for jewelry is increasingly hard to find today. The price of coral fresh out of the sea has been rising by 25 to 30 percent per year over the past few years.

More detailed information about Taiwan's coral jewelry industry is provided in this article.