The auctions are almost always ?invite only?. At least the serious ones are. The more general, public-like auctions (like the auction in Suzhou last year) are useless to large buyers. The lots are too small and the bidding too heavy. South Sea pearl auctions are the same. They are always invite only, and if you do not win a bid it is likely you will not be invited to the next auction.
There is nothing wrong with buying Tahitian pearls in Hong Kong. Most buyers, as a matter of fact, buy Tahitian pearls from Hong Kong companies or Japanese companies. Most of the time it is much easier than buying in FP.
? The ?asking? prices in FP are often much higher than the prices in HK or Japan. This is because the Asian buyers have purchased enormous lots and separated them, of course.
? Exporting pearls from French Polynesia is tremendously difficult.
? The lot separation is typically better in Asia. Lots are separated by single grade and single mm size. This is rare in Tahiti.
? The processing (if the buyer is purchasing strands instead of loose) is always better in Asia.
With the asking prices being the same or less expensive, and the fact that it is much easier to do business with the Asian suppliers, it is clear why more buyers buy from HK and Japan. I would assume that the large majority of wholesalers and direct-buying retailers buy this way. I think the GIE is trying to change this with auctions like the November auction, but it is going to take time.
I have purchased both in Asia (Japan and Hong Kong) and French Polynesia. Two years it made sense to us to purchase nearly all of our Tahitians in Asia. We now focus more on FP because of the volume we now purchase ? it makes more sense for us to do our own separation. But for most buyers, especially those who plan to make small purchases, the only additional value of purchasing direct from FP is intrinsic.
