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24x7Report > Blog > Finance > The Untold Stories of Peshawar’s Gemstone Market at Namak Mandi
Finance

The Untold Stories of Peshawar’s Gemstone Market at Namak Mandi

Last updated: 2025/03/15 at 5:11 PM
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The Untold Stories of Peshawar’s Gemstone Market at Namak Mandi
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At first look, the gemstone market in Peshawar, domestically often called Namak Mandi –that means “Salt Market” in Urdu – seems unremarkable and unappealing. The slender lanes, crumbling shopfronts, and the stench of open sewage create a picture of neglect and decay, concealing the colourful commerce that thrives inside. Nonetheless, this small, unassuming market has advanced right into a pivotal hub for the gemstone commerce. It’s Pakistan’s largest and most vital reduce and tough gemstone and mineral specimen market, deeply intertwined with the area’s borders, battle, and undocumented economies.

Namak Mandi transitioned into a middle for gem stones within the Seventies with the arrival of Afghan migrants who have been fleeing the Soviet invasion of Afghanistan. Even right this moment, Afghans maintain a close to monopoly over the gemstone commerce, with native merchants sharing that round 80 p.c of the outlets within the gemstone market belong to Afghans. Namak Mandi stays pivotal in linking native merchants with international consumers throughout continents and facilitates offers price 1000’s of {dollars} every day.

Nonetheless, this glittering commerce hides a shadow economic system. The gemstone market in Namak Mandi has been linked with smuggling, illicit cross-border networks, cash laundering, and financing militancy within the border area of Pakistan and Afghanistan. Regardless of the problem of militancy and strict border rules alongside the  Pakistan-Afghanistan border, a good portion of the stones in Namak Mandi originate from Afghanistan and entered Pakistan by informal channels. From Peshawar, the stones will likely be illegally exported to worldwide markets. 

In Pakistan, the scenario across the gemstone commerce stays regarding. Regardless of being among the many world’s high gemstone producers, the nation formally exports a mere $8 million price of valuable stones yearly. In distinction, it’s estimated that gem stones valued at roughly $5 billion are smuggled out of Pakistan annually These undocumented transactions spotlight the challenges of regulating commerce in a area marked by porous borders and longstanding battle. 

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Pakistan has the potential to export 800,000 carats of rubies, 87,000 carats of emeralds, and 5 million carats of peridots per yr. Among the most outstanding gem stones embody emeralds from Swat, pink topaz from Mardan, nephrite from Mohmand, peridots from Kohistan, and rubies from Pakistani Jammu and Kashmir, resulting from their readability, sturdiness, and glittering design. Many international locations, together with China, Afghanistan, the USA, Belgium, the UK, the UAE, Thailand, and India, import uncooked gem stones from Pakistan and export completed gem merchandise and jewellery worldwide. 

On this picture essay, primarily based on observations over two days, I delve into the hidden duality of Namak Mandi, a market that outwardly appears insignificant but operates as a linchpin within the international gemstone provide chain. (On the primary day, I used to be accompanied by a good friend from Waziristan, Rehman Dawar, who additionally assisted in capturing some pictures.) Via visuals capturing its misleading facade, the intricate craftsmanship of its artisans, and the tales of its merchants, this essay explores the market’s function in sustaining livelihoods whereas navigating the murky waters of undocumented commerce and cross-border complexities. 

Namak Mandi is not only a market; it’s a microcosm of the area’s historical past, resilience, and the intricate dance between legality and informality in borderland economies.

The gemstone market is thought (as a spot of commerce), however its true scale, wealth, and international connections stay unknown to informal observers. Not too long ago, some efforts have been initiated to formalize this “recognized unknown,” resembling organising the Gem Export Center, full with a certification lab, worldwide mail workplace, financial institution, and customs workplace. By addressing smuggling, offering infrastructure, and enhancing transparency, these initiatives might bridge the hole between the market’s hidden wealth and its broader financial potential. Formalization wouldn’t solely highlight the market’s contributions but additionally empower artisans and merchants, guaranteeing that this hid gem of Pakistan shines on the worldwide stage. 

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Acknowledgement: Because of Rehman Dawar for his assist in capturing some great photographs in Namak Mandi, Peshawar. All photographs have been taken with the consent of these concerned.

Disclaimer: This publication is a product of the FCDO’s Cross-Border Battle: Proof, Coverage and Developments (XCEPT) program, funded by help from the U.Ok. authorities. XCEPT brings collectively main consultants to look at conflict-affected borderlands, how conflicts join throughout borders, and the components that form violent and peaceable habits. This analysis is part of XCEPT’s Native Analysis Community, which engages consultants on the bottom to construct knowledge, proof and evaluation that displays the native experiences of fragility and battle. For extra info on XCEPT and the Native Analysis Community go to www.xcept-research.org. The views expressed within the doc don’t essentially mirror these of XCEPT or the U.Ok. authorities.

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TAGGED: Gemstone, Mandi, market, Namak, Peshawars, Stories, untold

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