Artificial intelligence could play a central role in modernising Sri Lanka’s centuries-old gem industry by improving gemstone certification, strengthening supply chain transparency and widening access to international markets, according to a research analysis by Kavindu Karunarathne, a lecturer and research assistant at York St John University.
Sri Lanka has produced sapphires, rubies and other precious stones for more than 2,500 years, and the Ceylon Blue Sapphire retains a strong reputation globally. Despite that heritage, the gem and jewellery sector’s annual export earnings have remained around US$300 million in recent years — well short of the government’s US$1 billion target.
The analysis attributes part of that gap to the industry’s reliance on informal networks, manual grading methods and reputation-based trading.
Karunarathne argues that machine learning systems, paired with scientific techniques such as spectroscopy, could make gemstone grading more accurate and consistent and verify origins more efficiently. A dedicated database holding the spectral and trace-element signatures of Sri Lankan stones would allow local laboratories and the National Gem and Jewellery Authority to issue more reliable origin certification, strengthening the value of the “Ceylon” brand.
Combining AI with blockchain could improve traceability, the analysis says, tracking stones from mining sites through to international buyers and giving purchasers greater confidence about origin, ethical sourcing and authenticity.
It also points to benefits further down the chain. Mobile applications offering AI-generated valuations for rough stones could help small-scale miners make better-informed decisions and reduce their dependence on intermediaries. In exploration, AI analysis of satellite imagery, geological data and historical mining records could help identify potential deposits while limiting unnecessary environmental damage. On the commercial side, AI-powered visual search, multilingual customer support and digital marketing tools could help small and medium-scale exporters reach overseas buyers.
The analysis is candid about the obstacles: many small operators have limited access to the technology, and Sri Lanka lacks a comprehensive gemstone data platform. It recommends a coordinated effort involving the National Gem and Jewellery Authority, the Gem and Jewellery Research and Training Institute, universities and industry stakeholders.
Source: Ada Derana.
