Myanmars military government has opened its latest auction of jade and gems, attracting hundreds of buyers seeking to tap into the countrys natural wealth. The auction opened yesterday with 308 lots of gems and 943 lots of jade up for sale both through bidding and through direct negotiation, the official New Light of Myanmar said. More than 550 merchants were registered at the fourday event, including 162 foreigners, the paper added.

The auctions used to be held twice a year to curb the flow of precious stones into the countrys enormous black market, which economists believe is at least half the size of the formal economy. Neighboring China and Thailand have become the biggest customers at the sales, which were held four times in 2006. The impact of the sanctions has been weakened, however, by the eagerness of neighboring China, India and Thailand to tap Myanmars vast natural wealth to fuel their own growing economies.