Sensible to be cautious, but there are grounds for thinking...

Sensible to be cautious, but there are grounds for thinking you’re being too cautious on the medium term. As you know, supply is price inelastic, it will take years for supply to move higher. Most pearls end up in China I believe, and their fondness for pearls is not a new thing. The growth of the Chinese middle class is only going to add to the demand/supply imbalance in the coming years imho. And we have a very significant market share in Indonesian pearl exports, which means our product will remain in demand as long as pearl quality is good.