<h1>Informal gemstone trade raises exploitation and regulatory gaps, prompting local auctions and calls for pricing and certification safeguards.</h1> Seasonal monsoon-driven diamond hunting in Rayalaseema operates as an informal, high-value local market outside regulatory oversight. Private sales to traders and syndicates predominate, producing vulnerabilities from asymmetric information, depressed pricing tactics, and occasional threats of legal action. Locals have adopted small public auctions and social-media sales to improve outcomes, while calls grow for government intervention-such as minimum pricing, certification, and dispute-resolution mechanisms-though officials note practical challenges to formal regulation.