The island has 70 out of the 200 known gem minerals and has long been known as a rich source of stones, some like its blue sapphires being much sought after in high-end niche jewellery markets.

About 70 percent of the land mass is potentially gem bearing.

"Research indicates that we may have only tapped about 10 percent of our gem deposits up to now," Ellawala said.

"We have the resources upon and around which a substantial manufacturing industry can be built."

He said the island's gem stone raw material are of high quality and high value and mainly used in the luxury goods market.

It has the potential to build a manufacturing industry and produce high-end products aimed at niche markets.

What is required is the efficient management and extraction of the resources, Ellawala said.

The industry is pressing for a national gem deposit survey as a first step in this objective.

Ellawala said what was needed was "a prospector's guide map".

"We know the gem areas. We have mapped potentially gem bearing land. We need to take this to a higher level and to inventories our gem deposits."

For this, a systematic survey using modern methods like surface penetrating radar and drilling techniques were required as well as the creation of a GIS – Geographic Information System.

Such a survey is acknowledged to be a costly exercise.