Tanzania, Jan. 14 -- Arusha. The once robust Tanzanite industry could be heading towards a slip following reported claims of rampant smuggling.

Fears are that some buyers abroad may either stop buying the rare gems or their prices in global markets could fall.

"These claims are quite damaging although they have not been verified", said broker Jeremiah Kituyo.

He said the entire value chain of the mineral, mostly excavated for the international markets, would suffer irreparably.

He made the remarks on Wednesday during a tour of the tanzanite mining site at Mererani by Arusha-based journalists.

The day-long tour follows recent unverified reports that there was rampant smuggling of the mineral from Mererani to the markets abroad.

The c...