Stamp Investment Tip: Cape of Good Hope Triangles

The Cape of Good Hope was the first stamp-issuing entity to produce triangular stamps, beginning with its first issue of 1853. As with many early issues, printing quantities are not known for most of the Triangles, which include some of the great rarities of Philately. Despite the fact that there is some specialized interest in this area, including the collecting of varieties, "square pairs", and covers, the market for Cape of Good Hope Triangles (with the exception of the rarities) is somewhat cool, and one can often find sound, three-margin examples for 25%-35% of Scott, and F-VF appearing seconds at 6%-12%. Researching these stamps and forming a specialized collection of the relatively inexpensive ones could prove highly profitable in the long run.


Stamps of the Cape of Good Hope have dual market appeal among collectors of both British Commonwealth and South Africa. While I like many of the Triangles, two that I favor for which the printing quantities are known are the 1863-64 6p Purple and 1sh Emerald (Scott #14 and 15), which had printings of 95,520 and 37,920, respectively, and Scott '10 values (as unused) of $ 275.00 and $ 475.00. A 1sh Pale Emerald shade (Scott #15a- Scott '10 CV = $ 1,200.-) is also known, and it's probably at least 3 or 4 times scarcer than the normal #15.

South Africa is a country of vast potential. As a middle-income country of about 49 million, it has an abundant supply of resources, well-developed financial, legal, communications, energy, and transport sectors, a stock exchange that ranks among the top twenty in the world, and a modern infrastructure supporting an efficient distribution of goods to major urban centers throughout the entire region. South Africa is ranked 25th in the world in terms of GDP. Annual GDP growth has averaged about 4% over the past 5 years. It is likely that South Africa will be one of the fastest growing economies in the world over the next decades.

General Commentary: When Does a Collector Become an Investor?

When does a collector become an investor? This seems a simple enough question, but answering it requires quite a bit of analysis, because one must consider the perspectives of the individual collector, the group of collectors of a particular collectible, and Society as a whole.

The individual collector often begins as a child who is not concerned with the monetary value of his collection. In a sense, he is investing time, effort, and some money into collecting, in order to reap a return that comes in the form of enjoyment of his collection, knowledge, and social interaction with other collectors. In time, he may come to understand that some of his collectibles are worth more than others, and may be sold for cash or traded for others- in other words, that his collection is not merely a plaything, but an asset. As he grows older, he may engage in buying and selling of collectibles and re-invest the profits in his collection. He may compare his collection to other assets in which he has invested, attempt to evaluate its prospects as an investment, and even attempt to evaluate the prospects of individual items within it. There is a natural progression from beginning collector to more advanced collector to collector/dealer to investor. Each new level builds upon the knowledge gleaned before, because in order to be a successful dealer or investor, one must understand the nature of the market for the collectible, and how other collectors, dealers, and investors think.

A similar evolutionary process occurs in the development of a group that is interested in a particular collectible, such as stamps. The first stamp collectors of the 1840s and '50s were not concerned with monetary value, but simply collected for the sheer enjoyment of it. Many mounted their stamps by pinning them to boards, and there were even instances of early stamp collectors using sheets of stamps as decorative wallpaper. The first stamp dealers, catalogs, and albums did not appear for decades. In the earliest years of the hobby, when "timbromania" ("stamp madness") swept through Europe, there was no distinction made between stamps which were common and those that were rare, and the very idea that these essentially worthless bits of paper might have value would have seemed laughable to most collectors of the era. In time, the first dealers set up shops to cater to collectors, specialists and scholars wrote books and monographs on various countries' stamps, wealthy collectors focused upon the rarer items, stamp clubs and societies were established, and a more sophisticated, diverse market began to develop, and continues to do so.

Within philately, there is a tendency for collecting areas to attain greater specificity and refinement as their markets develop. For decades, German collectors were considered the most "advanced" within the philatelic community, and as with other advanced markets, collecting of Germany and Area (its colonies, offices, occupation stamps, etc.) includes the collecting of varieties, cancels, covers, and many other niches, as well as a sophisticated awareness of condition grading, and detection of fakes and forgeries. As a philatelic market develops for stamps of a particular country, the collecting of the better items from that country is no longer the simple "fun" that a child might have in accumulating pretty little pieces of paper. The "fun" becomes more complex - the stamp is not merely an object of beauty or even of historical, cultural, or geographical interest; its presence in the album brings the collection closer to completion, and it is has value because collectors value it. To some extent, the buying and selling stamps may be considered a hobby or obsession as much as a business, because the intensity of absorption and level of knowledge and understanding required to do it successfully blurs such distinctions. At the most advanced levels, the stamp investor comes to realize that he is not merely investing money, but a part of himself. The hobby takes on aspects of a community, a world unto itself.

When considering society as a whole, the question of why people collect at all comes into play. A collection is, in a sense, a microcosm, a window through which one may domesticate and view the world as a whole. There is an emphasis on detail - on specificity of description and organization - which relates and connects any object or collection of objects to the greater world outside of the seemingly myopic and obscure pursuit of apparently unimportant trivia. Each object in the collection has a history - it presents story which relates to the reasons behind and means of its creation, and its relationship to other objects in the collection. As a hobby, collecting is really a pursuit of knowledge in objectified form, and it requires an openness to complexity and detail - a pluralistic philosophical perspective which views the world as diverse and multi-dimensional, rather than simple and homogenous.

Until the beginning of the Industrial Age about 200 years ago, only the wealthiest members of society had the means and leisure time to pursue any form of intellectual enrichment, including collecting. Until then, there was no "middle class" of any consequence, nor did most people survive until middle age. Most people were illiterate or semi-literate, spent most of their time working and providing for the survival of their families, and lived in hovels. The "Renaissance Man" or "man of the world" was usually an aristocrat or successful merchant who might form a collection of art or other objects with which he could impress his wealthy friends.

The development of a sizable middle class, the increase in life expectancy and availability of education, and more recently, globalization, cosmopolitanism, the increased interest in multiculturalism, and the greatly enhanced access to information and markets via the Internet have all contributed to a growing "collectible-awareness" in the world as a whole. The implications of the old adage "today's trash is tomorrow's treasure" have been borne out in recent times, blazed across the airways in the form of television coverage of celebrity collectibles auctions, TV series focused on antiques, treasure and relic hunters, and flashed over computer screens of Ebay bidders engaging in buying and selling on a 24/7 basis in a never-ending series of often viciously competitive auctions. There has been an explosion of collectible categories as well, as these have expanded to include objects never previously considered to be collectibles: lunch boxes, expired credit cards, phone cards, lottery tickets, greeting cards, advertising , entertainment, and political memorabilia, action figures, game cards, found objects, and so on. Those individuals most involved with this seemingly surreal world, who have a heightened "collectible-awareness," now consider almost any object in light of its potential future value as a collectible.

In effect, high culture is no longer monopolized by the wealthy, nor is "popular culture" considered vulgar or plebeian. There has been an intermixing and commodification of the two realms, and the artifacts of culture are now assigned monetary value by the invisible hand of the market. The effects of this new orientation go far beyond a transformation in perspective of those who consider themselves collectors. As most humans now belong to a competitive, predominantly capitalist global society, even those who do not actively participate in the collectibles market are influenced, and persuaded to take account of the value of these commodities when opportunities arise. Objects which were once collected purely for pleasure -out of a sense of wonder, or based on feelings of nostalgia- are now viewed as valuable and important representations of the world's culture. Even those who are not inclined to collect anything may be drawn into the web for purely economic reasons. We are all becoming Renaissance Men and Women: worldly, pragmatic, and open to appreciating the value of things once deemed trivial, exotic or obscure. And at the very top of this new Tower of Babel that is the collectibles market resides a priesthood of oracles and astrologers, predicting and profiting from the vagaries of economic and demographic trends affecting the future values of these objects which the world has come to treasure.

Stamp Investment Tip: Indian Legion 1R + 2R Azad Hind Issue (Michel # VII)

In 1943, the Germans produced a set of stamps for Subhas Chandra Bose's Azad Hind, or Indian National Army (Michel #I-X). These were intended to serve initially as propaganda labels, later to be used as postage after the "liberation" of India from the British by the I.N.A.. The stamps were never transported to India, and stayed in storage in Germany until the end of the war. All of the Azad Hind stamps except the 1R+2R Indians Bearing Azad Hind Flag (Michel #VII) are common, as 1 million of each of the lower values were printed. Three types of the 1R+2R stamp and four proofs are known:

-1R+2R Black, imperforate (1st Printing; Mi. #VIIa- 4,500 produced; Mi. CV= Euros 600.-)

- 1R+2R Black and Orange, imperforate (2nd Printing; Mi. VIIb- 2,000 produced; Mi. Cv = 250 .- Euros .-); a large number of these exist on ungummed paper (Mi. CV= 35.- Euros)

- 1R+2R Black, Orange, and Green, imperforate (3rd Printing; Mi. VII- 7,000 produced; Mi. CV= Euros 250.-)

Proofs noted in Michel:

- 1R+2R Violet (400 produced; Mi. CV= Euros 500.-)

- 1R+2R Carton paper (100 produced; Mi. CV = Euros 500.-)

- 1R+2R On the back of a piece of carton paper, with ad. printed on the front, imperforate (Unknown quantity; Mi. CV= Euros 600.-)

- 1R+2R Proof of Michel VIIb (Black and Orange) on orange colored paper, imperforate (Unknown quantity; Mi. CV= Euros 2,000.-)

Forgeries exist of this issue, so it should be purchased conditional on obtaining expertization.

At this point, many readers might wonder: Why recommend an unissued stamp, not listed by Scott, which is basically just a cinderella?

I feel that the 1R+2R stamp is exceptional, because of its historical significance, its scarcity, and its compelling potential dual market for collectors of both India and Germany. Bose and the I.N.A. are not well known in the West, but his role in the struggle for independence has been recognized by India, which has issued five postage stamps commemorating him and his army. He was a prominent figure in the independence movement, and was elected president of the Indian National Congress twice, but had to resign from the post following ideological conflicts with Gandhi. He felt that non-violent resistance would prove ineffectual, and he was willing to assist the Axis war effort, but he never liked the Nazis and once commented that we was willing to "shake hands with the Devil to achieve India's independence." Gandhi is honored as the saint and savior of India's independence movement, but it should be noted that when non-violent political movements succeed, they often do so partly because of the fear that the enraged masses will resort to less humane alternatives.

I view this stamp as an interesting and probably low-risk speculation. In the coming years, the "serious" stamp collecting population of Indians will number in the millions, and I expect that enough of these new collectors will want the Azad Hind Flag stamps to push their values dramatically upward.

Stamp Investment Tip: Switzerland 1922-44 League of Nations Officials

In a number of previous articles, I have expressed the opinion that the demand for U.N. Topicals will increase as the U.N. gradually gains credibility and becomes an effective institution for dealing with global problems. The same holds true for other stamps related to global government, which I feel will either gradually assume more importance, or grow in fits and starts as critical problems requiring global solutions suddenly and unexpectedly rear their ugly heads.


The League of Nations, which preceded the U.N., was headquartered in Geneva, and utilized overprinted Swiss stamps. The League failed to stop aggression and mass murder by the Axis powers, and was replaced by the U.N. after the end of World War II. Stamps issued for use by the League and various other international organizations are listed as Swiss officials. I favor all of the scarce and undervalued stamps issued by these international organizations, but initially will focus on those issued for the League, which I've listed, along with quantities issued and Scott '10 Catalog Values (for used) , below:


-1922-31 Overprint (Scott #2O1-30; 11,300; $ 555.35 )

-1930-44 Overprint, grilled gum (Scott #2O2a-26a; 6,500; $ 751.75 )

-1935-36 Overprint, grilled gum (Scott #2O31-34; 75,000; $ 19.25)

-1922-25 Overprint, ordinary gum (Scott #2O31a-34a; 75,000; $ 53.00 )

-1928 5fr Blue (Scott #2O35; 12,500; $ 87.50)

-1932 Overprint (Scott #2O36-41; 50,000; $ 107.20)

-1934 Overprint (Scott #2O42-46; 50,000; $ 23.00)

-1937 Overprint, grilled gum (Scott #2O47a-55a; 20,000; $ 20.95)

-1937 3fr Orange Brown (Scott #2O56; 8,000; $ 190.00)

-1938 Overprint (Scott #2O57-60; 34,000; $ 19.90)

-1938 Circular Overprint (Scott #2O61-64; 24,000; $ 26.00)

-1939 Overprint (Scott #2O65-67; 25,300; $ 58.50- $19.75 unused)

-1942-43 Overprint (Scott #2O68-69; 84,500; $ 2.70)

-1944 Overprint (Scott #2O70-90; 42,464; $ 75.40- $ 40.30 unused; $ 65.00 NH)



As these issues are all overprinted Swiss stamps, much of the current demand for them comes from collectors of Switzerland. A far greater proportion of the Swiss population are stamp collectors than are Americans, and the level of interest there is comparable to that which exists Germany.

Switzerland, a nation of 7.8 million people,is one of the richest countries in the world by per capita, with a nominal per capita GDP of $67,384. The country experienced slow growth in the 1990s and the early 2000s, and was hurt by the global financial crisis, which has resulted in greater support for economic reforms and harmonization with the European Union.

Stamp Investment Tip: Egypt 1932-39 Military Stamps

Between 1932 and 1935, the British provided stamps at a reduced rate for use by their military forces in Egypt, per the terms of a concessionary arrangement made with the Egyptian government. The stamps were to be affixed to the back of envelopes bearing an "Egypt Postage Prepaid" handstamp on the front, and were used by military personnel and their families for letters sent to Great Britain and Ireland.

These stamps are of particular interest because they have dual market appeal among collectors of both British Commonwealth and Egypt, with the growing stamp market in Egypt being a potentially powerful catalyst that could push the values of these stamps up significantly. I've listed the British Forces in Egypt stamps with the lowest printing quantities, along with their Scott '10 Catalog Values, below:

- 1932 3m Black on sage green (Scott #M2; 41,800; $ 55.00 )

- 1933 3m Brown Lake (Scott #M4; 54,000; $ 8.75 )

- 1934 3m Deep Blue (Scott #M6; 63,000; $ 8.25)

- 1935 1p Jubilee Overprint (Scott #M9; 27,000; $ 325.00)

- 1935 3m on 1p Bright Carmine (Scott #M11; 10,000; $ 25.00)

In addition, there is a non-Scott-listed variety of the 1935 3m Christmas stamp (Scott #M10). The normal vermilion stamp (Scott '10 CV=$ 2.25) is relatively common, with 101,100 issued. The neglected yellow orange variety (Michel #10b), which is currently valued at around triple the normal stamp, had a printing of only 12,075.

Also note that the 1935 1p Jubilee Overprint (Scott #M9) has added appeal as part of the George V Silver Jubilee Omnibus set of stamps issued by the various Commonwealth countries.

With an estimated 76 million people, Egypt possesses one of the most developed economies in the Mid-East, with a GDP growth rate of 5%-7%. The government is undertaking major economic reforms to further spur development, including massive investments in infrastructure and liberalizing economic and tax policies to encourage foreign investment. Egypt's main challenge in the years to come will be one of social and political democratization - how to assure that enough of the new wealth trickles down to the majority of the population to lessen the problems of poverty and political instability. Nevertheless, barring major political instability, it is likely that Egypt will be one of the fastest growing economies over the next several decades.

Stamp Investment Tip: Russia 2002 Booklet Panes

Russia has issued a number of scarce booklet panes in recent years, some of which have topical appeal. Booklet issues are often ignored when they're first released, especially if the stamp designs duplicate those issued in regular sheet format. After a while, however, collectors begin to get that horrible empty feeling from seeing blank spaces in their albums, and desperately hurry to their favorite dealers to lap up the supply.

In 2002, Russia issued four scarce booklets- three of which are attractive and have topical appeal, and one of which is boring, but worth buying anyway. I've listed them, along with their topic categories, quantities issued, and Scott '10 Catalog Values, below:

-2002 New Hermitage, 150th Anniversary (Art/Paintings; Scott #6684a-88a bklt.; 10,000; $ 40.00)

-2002 St. Petersburg, 300th Anniversary (Art/Architecture; Scott #6695a-99a bklt.; 10,000; $ 80.00)

-2002 Carriages (Transportation; Scott #6705f-05j bklt.; 10,000; $ 46.00)

-2002 Census (Scott # 6718a bklt; 12,000; $ 75.00)

With 142 million people, Russia is the 8th or 9th largest economy in the world, with vast reserves of natural resources and a highly educated population. Since the collapse of the Soviet Union, Russia has experienced several major economic crises in its transition to capitalism. Annual GDP growth has averaged 3.2% over the last 5 years, which takes into account an 8% contraction in 2009, due to the global financial crisis. The country is still plagued by corruption and organized crime, making it somewhat reminiscent of America during its "Wild West" and Robber-Baron periods. Nevertheless, the middle class has grown from just 8 million people in 2000 to 55 million in 2006.

Those interested in joining a community of philatelic investors are welcome to join the "StampSelectors" group on Facebook. This lively group engages in trading as well as discussions of issues related to stamp investment and Philately in general.

Stamp Investment Tip: Philippines 1944 "Victory" Handstamps

During the Philippines Campaign of 1944-45, the Allied forces gradually liberated the islands from the Japanese. As a propaganda tactic, in 1944 crude violet "VICTORY" handstamps were applied to some earlier Philippines issues. Many of these stamps are scarce to very rare, and comprise what would be an extremely expensive compound set (Scott # 463-84, C63, E8-9, J16-22, O38-43), though it is likely that very few, if any, complete sets remain in collections. They have dual market appeal in both the Philippines and the U.S., as they were issued during a period in which the islands were technically in transition from U.S. Administration to Independence.

Fake handstamps exist, so it is necessary to purchase these stamps conditional on obtaining expertization. I've listed them, along with quantities issued (when known) and Scott '10 Catalog Values for unused, below:

1944 Violet "VICTORY" Handstamps:

-2c (on #411; Scott #463; 168; $ 325.00)

-as above, booklet pane of 6 (Scott #463a; 28; $12,500.00 )

-2c (on #461; Scott #464; 24,400; $ 10.00 )

-4c (on #384; Scott #465; 807; $ 42.50 )

-6c (on #385; Scott #466; 64; $ 3,500.00 )

-6c (on #409; Scott #467; Unknown; $ 225.00)

-6c (on #413; Scott #468; 206; $ 4,750.00)

-6c (on #453; Scott #469; 235; $ 350.00)

-6c (on #466; Scott #470; 141; $ 1,750.00)

-6c (on #459; Scott #471; Unknown; $ 275.00)

-8c (on #436; Scott #472; 1,643; $ 17.50)

-10c (on #415; Scott #473; 450; $ 300.00)

-10c (on #437; Scott #474; 358; $ 275.00)

-12c (on # 410; Scott #475; Unknown; $ 1,100.00)

-12c (on #454; Scott #476; 36; $ 6,000.00)

-12c (on #460; Scott #477; Unknown; $ 375.00)

-16c (on #389; Scott #478; 122; $ 2,250.00)

-16c (on #417; Scott #479; 200; $ 1,250.00)

-16c (on #439; Scott #480; 500; $500.00)

-20c (on #440; Scott #481; 1,401; $ 110.00)

-30c (on #420; Scott #482; 248;$ 350.00 )

-30c (on #442; Scott #483; 200; $ 750.00)

-1p (on #443; Scott #484; 21; $ 6,250.00)

Airmail:

-4c Rose Carmine (Scott #C63; 122; $ 3,750.00)

Special Delivery:

-20c Dull Violet (on #E5b; Scott #E8; 138; $ 1,400.00)

-20c Blue Violet (on #E7; Scott #E9; 600; $ 550.00)

Postage Dues:

-4c Brown Red (Scott J16; 306; $ 150.00 )

-6c Brown Red (Scott J17; 390; $ 90.00 )

-8c Brown Red (Scott J18; 379; $ 95.00 )

-10c Brown Red (Scott J19; 405; $ 90.00)

-12c Brown Red (Scott J20; 423; $ 90.00)

-16c Brown Red (Scott J21; 425; $ 95.00)

-20c Brown Red (Scott J22; 375; $ 95.00)

Officials:

-2c (on #O27; Scott #O38; 138; $ 375.00)

-2c (on #O37; Scott #O39; 13,100; $ 10.00)

-4c (on #O16; Scott #O40; 2,634; $ 42.50 )

-6c (on #O29; Scott #O40A; Unknown; $ 8,000.00)

-10c (on #O31: Scott #O41; 665: $ 500.00)

- 20c (on #O22; Scott #O42; Unknown; $ 8,000.00)

-20c (on #O26; Scott #O43; Unknown; $ 1,750.00)

As a newly democratic and newly industrialized country of 92 million which is moving away from from its centuries-old complete dependence on agriculture, the Philippines could turn out to be one of the most successful emerging markets in the Pacific Region. The government tends toward fiscal conservatism coupled with long-term economic planning, and annual GDP growth has been around 6%-7%. Barring extreme political instability, it is likely that the Philippines will be one of the fastest growing economies over the next decades.

Stamp Investment Tip: Mexico 1932 50c Air Official (Scott #CO18)

In 1932, Mexico overprinted its 1927 50c Dark Blue and Claret airmail stamps "SERVICIO OFICIAL," for government use. The vast majority of the stamps overprinted had watermarked paper (Scott #CO19) , but one hundred stamps of the 1922 issue (same design, but on unwatermarked paper), were also overprinted by accident, creating a very scarce stamp (Scott #CO18), which Scott '10 values at $ 1,000.00 for both unused ($ 1,600.00 for NH) and used.

The usual caveat for overprinted issues applies: purchase the stamp conditional on receiving authentication, preferably from the Mexico-Elmhurst Philatelic Society (M.E.P.S.I.). I believe this stamp has been unjustifiably neglected because it's a back-of-book issue, and because it's an unwatermarked paper variety. These factors will diminish in importance as the stamp market develops in Mexico.

With a population of about 109 million, Mexico has had consistent annual GDP growth of between 3 and 5%. It has a diverse and developing economy, but modernization remains a slow and uneven process, and current challenges include addressing income inequality and corruption, upgrading the infrastructure, and reforming tax and labor laws. Despite its problems, it is likely that Mexico will experience significant economic growth over the coming decades.

General Commentary: Which Economies Will Grow the Fastest?

A recent report by Price,Waterhouse, Coopers, the world's largest professional services firm, projects long-term economic growth rates (to 2050) for the world's fastest growing economies. According to the report, China is expected to overtake the U.S. as the world's largest economy in around 2025 , while India will nearly catch up with the U.S. by 2050. The report also ranks the twenty fastest growing economies according to their projected average annual GDP growth over the next forty years. In order of ranking, these are: Vietnam, India, Nigeria, the Philippines, Egypt, Bangladesh, China, Indonesia, Pakistan, Malaysia, Thailand, Iran, Brazil, Turkey, Argentina, South Africa, Saudi Arabia, Mexico, Russia, and Poland.


Such long-term predictions should be taken with a grain of salt. However, it is likely that if the report proves to be generally correct, a selection of better stamps from these countries will do well over the next decades as these countries become more prosperous, assuming that the prosperity is sufficiently shared to allow for a growing middle class. Obviously, when assessing each individual country's prospects, the political and economic risks should be taken into account. Diversifying so as to create a "portfolio" of better stamps from among the high growth countries would tend to lessen the overall risk.


Those interested in joining a lively and growing community of "stampselectors" are welcome to join the "StampSelectors" group on Facebook. The group offers the opportunity to meet and communicate with other collectors, investors, and dealers from all over the world, buy and sell stamps, and discuss investment recommendations and the content of this blog.

Stamp Investment Tip: Mahatma Gandhi Topicals

The stamp market is heating up in India, and as vast numbers of upwardly mobile Indian converts to the insidious cult of Philately enter the fold, their focus has been on topicals. It should come as no surprise that among the most popular topicals in India are stamps featuring Gandhi. As all of the Gandhi stamps issued throughout the world are modern, the vast majority of them are still extremely inexpensive - two major exceptions to this being India's 1948 Mourning set (Scott #203-06) and the accompanying set of overprinted officials (Scott #O112A-12D) , both of which I tipped on September 16th of last year.

However, Gandhi topicals have been so hyped recently that minor, unlisted errors (commonly known as "freaks"), which only a few years ago might have brought only slight premiums over the prices of the normal stamps, have sold for absurdly high prices. Normally, I'd consider such sensational "lemmings-to-the-sea" type of behavior to be a sign of a stamp market bubble for the issues affected, similar to the short-lived mania for Lady Diana issues following her tragic death.

In my opinion, this situation is somewhat different, because the future of philately in India is very bright indeed, and because the topic is Gandhi, who many Indians view as being like Washington, Lincoln, Martin Luther King, Jr., and Jesus rolled into one.

However, it often pays to hedge one's bets, and in this kind of situation, a good stampselector
will survey the relevant issues in order to determine which seem the most undervalued. Such stamps will soar if the speculation pays off, and will hold up better than the frothier items if the bottom falls out of the market.

As yet, I've found two issues that I particularly like. Both commemorate the Centenary of Gandhi's Birth.

In 1969, Hungary issued a normal, perforated stamp picturing the Mahatma (Scott #2005 ; 582,000 issued; Scott '10 Cv= $ 1.25 for unused) which I am not recommending, along with an imperforate version of the same design (Scott #2005Note; 6,500 issued; $ 8.00 for unused or used), which I am. Hungary has issued relatively low quantities of imperforate versions of many of its stamps. As the imperforates were produced solely to generate foreign exchange by milking collectors, they were held in contempt until the fall of the Iron Curtain and the resurrection of capitalism in Hungary. The normal, perforated stamp might do well, but the imperf represents a far better value. When purchasing the Gandhi imperf, the buyer should be somewhat careful, because since the common, perforated stamp has wide margins, its perfs could be trimmed off by an unscrupulous seller in order to make it appear imperforate. Probably the safest way to buy the imperf is to buy it in pairs or blocks, or tied to a First Day Cover. As many dealers are still unaware of the Gandhi craze, you may stumble upon such a cover in a dealer's dollar box.

In 1970, Cyprus issued about 188,000 sets of two stamps (Scott #338-39) which Scott '10 values at $ 1.00 for unused. It's certainly inexpensive enough to accumulate in large quantities, and enough sets are available to make it susceptible to market manipulation.

Attractively cacheted First Day Covers of Gandhi topicals are popular, so if you can locate FDCs for these issues at a slight premium, they're worth purchasing. Resist any temptation to pay astronomical prices for minor errors or "flyspeck" varieties.

Addendum: Recently, StampSelector has recommended purchase of two additional Gandhi Issues- the Mauritius 1969 Gandhi set and souvenir sheet, and India's 2005 Salt March Souvenir Sheet.

(Note: the Hungarian Gandhi stamp pictured is the normal, perforated stamp; I could not locate an image of the imperforate version.)

Stamp Investment Tip: France - Offices in China

As with the other colonial powers smuggling opium into China, bribing corrupt officials, and generally making a mockery of Chinese sovereignty during the 19th and early 20th centuries, France maintained "spheres of influence" within China, and maintained post offices there. Initially, French stamps were overprinted "Chine" and used throughout the Middle Kingdom, but after the Boxer Rebellion (1898-1901), France also issued stamps for its post offices in various Chinese cities, overprinted with the city names.

Many, if not all, of the better foreign offices in China stamps are grossly undervalued, because most Chinese collectors disdain them as relics of foreign imperialism, which they are. Nevertheless, I feel that they are excellent investments solely on the basis of growing demand in their home countries, and because I believe that eventually, the Chinese will bid them up as well. Many of these issues are undervalued to such an extent that they are currently selling for less than P.R.C. souvenir sheets and Cultural Revolution sets which are at least 30 to 100 times more common. When reticence begins to replace rage, and perhaps 1/100th of a percent of the collectors in China start buying these issues, they will zoom upward at a rate that will shock and amaze the the vast majority of collectors who unwisely neglected to read this blog.

All better foreign offices in China stamps are overprints, and should be purchased conditional on expertization. I've listed a few of the France-Offices in China general issues below (along with printing quantities and Scott '10 Catalog Values for unused and used). I'll consider some of the stamps issued for the individual cities in future articles.

France- Offices in China:

- 1900 25c on 1fr Bronze Green on straw (Scott #13; 3,000; $125.- ,$75.- )

- 1901 2c on 25c Black on rose (Scott #14; 900; $1,000.- , $ 325.-)

- 1901 4c on 25c Black on rose (Scott #15; 600; $ 1,250.-,$ 450.-)

- 1901 6c on 25c Black on rose (Scott #16; 900; $1,000.- ,$ 375.-)

- 1901 16c on 25c Black on rose (Scott#17; 2,400;$ 300.-,$ 190.-)

- 1903 Handstamped Postage Dues (Scott #J7-30; Est. fewer than 2,000 of each; all are scarce to very rare- only known used; Scott '10 CVs range from $ 225.- to $ 2,250.- for used)

Stamp Investment Tip: Canada 1926 Provisional Surcharges (Scott #139-40)

In July of 1926, Canada reduced its domestic postal rate from 3c to 2c per ounce or fraction thereof, and the rate on letters to the United Kingdom and the British Empire from 4¢ to 3¢. At this time, the post office had in stock almost 130 million of the 3¢ Carmine Admiral stamps- enough to last for 25 years. A decision was made to surcharge the 3¢ Carmine by adding the overprint "2 cents" and to use the surcharged stamps to help meet the expected demand for 2c stamps. Two types of surcharged stamps were issued: single- and double-line (Scott #139 and 140), of which 50,000 and 103,500 were issued, respectively. Scott '10 values #139 at $ 60.00 for unused ($100.- for NH) and #140 at $ 30.- ($50.- for NH).

As an investment, I prefer #139, although it should be noted that there are also scarce surcharge varieties of both stamps, all of which are good. As with all overprints, there is the risk of fakery, necessitating expertization. While the surcharge varieties are all pricey enough to make expertization practical, #139 is not, unless, of course, it is purchased and submitted as a multiple, preferably as a block of 4 or more stamps.

With a population of about 31 million, Canada is one of the world's wealthiest countries, and one of the world's top ten trading nations. GDP growth has averaged 2.2% over the past five years, which takes into account the 0% growth of 2009 due to the global financial crisis. Canada's population is expected to age significantly over the next decades, thereby bolstering its population of serious collectors. Canadians over 60 are projected to increase from 16.7% of the population in 2000 to 27.9% in 2025, and 30.5% in 2050. Consequently, in the future, many more Canadians will be spending time working on their stamp collections on cold winter days.

Those readers who are on Facebook, LinkedIn, and Ebay are welcome to join the newly created "StampSelectors" groups, which will focus on philatelic investment and the stamp market. To get to them, simply search "Groups" under "StampSelectors."

Phila-Trivia: New Zealand's Dangerous Teddy Bear

In 1996, New Zealand issued a two Children's Health Semi-postal stamps of the same design, picturing a child sitting in a vehicle holding a Teddy Bear (Scott #B154, B155). Unfortunately, the inclusion of the stuffed animal facing forwards indicated that the infant was improperly buckled in, rendering the stamp "dangerous" because of its potential influence. In New Zealand ,the law states that child car safety seats must face backwards - not forwards. The withdrawn design clearly shows the seat-belted Teddy Bear, hence the child capsule is also pointing forward, contravening New Zealand's child safety rules.


All but approximately 1,000 copies of #B154 and 500 of #B155 (the self-adhesive version) were withdrawn by the New Zealand Post, which then issued a new stamp (Scott #B151), picturing the child properly buckled in, sans Teddy Bear. Scott '10 values the perforated, gummed error stamp at $1,000.00 and the self-adhesive error at $1,750.00, making these not merely the most dangerous and illegal Teddy Bears ever created, but also the most expensive.


Incidentally, I believe these particular stamps will do more than "hold their stuffing" over time as investments. Teddy Bears on stamps have topical appeal, partly on their own and partly as a subgroup of Animal Topical collecting.


New Zealand is a modern, prosperous nation of about 4.3 million people, with a GDP of $115 billion. Over the last 10 years, annual GDP growth has averaged about 3%. The economy was hurt by the recent global financial crisis, and is beginning to recover. In 2005, the World Bank praised New Zealand as being the most business-friendly nation in the world. Stamps of New Zealand are collected both domestically and by British Commonwealth collectors worldwide . The nation has a stamp collecting demographic similar to Great Britain's, and the demand for better material should increase dramatically as population aging accelerates. The percentage of New Zealander's aged 60 and over will rise from 18% in 2009 to 29% in 2050.

Stamp Investment Tip: Brazil 1949 Ouro Fino Bicentenary Souvenir Sheet (Scott #687a)

Like Jim Cramer and many other investment analysts, I favor the "BRIC" countries (Brazil, Russia, India, China), but as a stampselector, my take on them is somewhat different. Certainly an investor should endeavor to profit from the economic growth of these countries by investing in mutual funds or by prudently picking stocks, but should he be familiar with stamps, then why not diversify into them as well? After all, unlike a publicly traded company, a stamp (or in this case, a souvenir sheet) can't be nationalized, lose its value due to mismanagement, fraud, dilution, or competition, or go bankrupt. In fact, a stamp's supply must either remain static or diminish over time, so in effect, all are subject to "stock buybacks" by the Fates or Father Time.


In 1949, Brazil issued a souvenir sheet picturing the Church of Sao Francisco de Paula, and commemorating the Bicentenary of the city of Ouro Fino (Scott #687a). Only 10,000 were issued, and Scott '10 values this religion topical at $62.50 for unused and $30.00 for used. As an added "bonus feature," the s/s was issued without gum, making preservation less of a headache. The '49 Church souvenir sheet is, in my opinion, grossly undervalued, and a likely candidate for hoarding and price manipulation in the not-too-distant future.

With 191 million people, Brazil is the largest economy in Latin America, and the world's eighth largest. Political and economic reforms have given the country a brighter future than it had in the bad old days of oligarchical dictatorship. The Brazilian economy is diverse, the country is aggressively investing in its future by generously funding technological research and education, and exports are booming. Annual GDP growth has averaged a little over 5% over the last 5 years.

There are a number of undervalued Brazilian issues with printing quantities of 10,000 to 100,000, some of which have topical appeal, and recommending them for accumulation seems a no-brainer. Brazil looks destined to become an economic superpower, and even if it mirrors the philatelically anemic U.S. and only one out of a thousand Brazilians become serious stamp collectors and one out of a fifty become "non-serious" ones, they'll be competing for their nation's better stamps, only to find that the cupboard is bare.
Note: I've never seen a First Day Cover of #687a, and it's possible that they are rare, because the sheet was issued without gum.
I have recently published a buy list for stamps and souvenir sheets of Brazil, including this issue. Viewing dealers' buy lists is an excellent way to keep abreast of the stamp market.
Those interested in learning more about investing in stamps are welcome to join the Facebook "Stampselectors" group. The group currently has over 1,600 members who engage in trading and lively discussion about the stamp market and practical issues related to stamp collecting.

Stamp Investment Tip: Gabon 1886 Surcharges (Scott #1-5)

In 1886, Gabon, then a French colony, issued its first postage stamps, by handstamping surcharges on French Colonies general issue stamps of 1881-86 (Scott #1-5). All five stamps are scarce, and as with most valuable overprinted issues, should be purchased conditional on obtaining expertization. I've listed the stamps, along with their printing quantities and Scott '10 Catalog Values below:

- 1886 5c on 20c Red on green (Scott #1; 900: $ 525.00 unused, $425.00 used)

- 1886 10c on 20c Red on green (Scott #2; 900;$ 525.00 unused, $425.00 used)

- 1886 25c on 20c Red on green (Scott #3; 10,500; $ 87.50 unused; $75.00 used)

- 1886 50c on 15c Blue (Scott #4; 300; $ 1,450.00 unused, $ 1,900.00 used)

- 1886 75c on 15c Blue (Scott #5; 300; $ 1,800.00 unused, $ 2,000.00 used)

Stamps of this issue tend to have terrible centering, so try to select examples which are centered Fine or better, if possible, or else discount for average centering. Mediocre centering is commonplace for many early stamps of the French Colonies, to such an extent that Average-centered stamps are often called "Fine for issue."

These stamps should do well based upon increasing demand for French Colonies, but they also make an interesting play on Gabon as a developing economy. With a population of 1.5 million, Gabon has a per capita income of four times the average for Sub-Saharan Africa. The low population density together with abundant natural resources and foreign private investment have helped make Gabon one of the most prosperous countries in the region. Annual GDP growth has averaged just under 3% over the last 5 years.

Stamp Investment Tip: Falkland Islands 1948 Silver Wedding (Scott #99-100)

The Falkland Islands, an archipelago in the South Atlantic off the coast of Argentina, is a self-governing territory of the United Kingdom. While Falkland Islanders comprise a tiny but very affluent population of about 3,000, from a philatelic investment perspective, the Falklands are of interest because they appeal to both British Commonwealth and Antarctic territories collectors.


In 1948, the Falklands issued a set of two stamps celebrating the Silver Wedding of King George VI and Queen Elizabeth (later the Queen Mother). The set (Scott #99-100) is one of the scarcest of the Silver Wedding Omnibus issues, as only 5,000 were issued, and Scott '10 values it unused at $ 111.25 . As a popular topic for British Commonwealth collectors, it's hard to beat the Royal Family, with a stick, sceptre, or other appropriately heavy object, and banking on such loyalty can pay interest.

Stamp Investment Tip: German States- Lubeck 1859 Arms Issue (Scott #1-5)

Before Otto von Bismarck unified Germany in 1871, the country was divided into individual states, some of which issued their own stamps. A few of these stamps are rare and extremely valuable, but in many cases, prices of German States stamps have lagged, because as a collecting area it is a minefield of reprints, fakes, and forgeries. With the exception of the rarities, many German States stamps often can be purchased in F-VF+ condition for 25%-35% of Scott. Better items which seem questionable should be purchased conditional on obtaining expertization, preferably by a reputable German expert.

Having taken that necessity into account, however, I believe that over time, the "cream" (by which I mean the better, undervalued German States stamps which have been expertized) will rise to the top.

Lubeck's first stamps (Scott #1-5), issued in 1859, provide a lesson on how to navigate the treacherous maze of German States philately. I've listed these stamps, along with their printing quantities and Scott '10 Catalog values, below:

-1859 1/2g Gray Lilac (Scott #1; 40,000; $ 400.00)

-1859 1s Orange (Scott #2; 20,000; $ 400.00)

-1859 2s Brown (Scott #3; 138,600; $ 17.00)

-1859 2 1/2s Rose (Scott #4; 50,000; $ 35.00)

-1859 4s Green (Scott #5; 149,900; $ 16.00)

Reprints and fake cancels exist for this issue, and given the cost of expertization, I think that it makes sense to buy only #1 and # 2, with certificates.

Germany, an affluent nation of about 82 million people, is the world's fourth largest economy, and both the second largest importer and second largest exporter of goods. Since the age of industrialisation, the country has been a driver, innovator, and beneficiary of an ever more globalised economy, and is recognised as a scientific and technological leader in several fields. Annual GDP growth has averaged about 2% over the last five years, reflecting the recent global slowdown, and the gradual progress being made in absorbing the less developed former DDR.

Germany has long been known as a center of philately, and both the hobby and the stamp business there exhibit a markedly higher level of sophistication than what exists in the U.S.. There are three million philatelists in Germany, which makes it the second biggest stamp collecting nation in the world.

Stamp Investment Tip: U.N.T.E.A. 1962-63 Issue (Scott #1-19)

"UNTEA" is not a popular beverage, but an acronym for a UN organization which administered territory and issued stamps.

Following the recognition of Indonesia's independence by the Netherlands, Western New Guinea became the focus of a political dispute between the two countries. Indonesia claimed the territory as its own while the Dutch side maintained that its residents were not Indonesian and that the Netherlands would continue to administer the territory until it was capable of self determination. Indonesia landed paratroops onto the territory of Western New Guinea in 1961, which prompted a political crisis between the Netherlands and Indonesia. The United Nations stepped in and mediated, resulting in an agreement whereby the UN temporarily administered the territory. In May of 1963, Western New Guinea became a province of Indonesia, later known as Irian Jaya.

During the period of administration by the U.N.T.E.A. (United Nations Temporary Executive Authority), a set of 19 stamps was issued by overprinting "UNTEA" on Netherlands New Guinea stamps of 1950-60 (Scott #1-19). The basic set had a modest printing and has appeal in three growing philatelic markets (Indonesia, the Netherlands, and UN), but what makes the story even more interesting for stampselectors is that the UNTEA set had four printings, with four easily distinguishable overprint types. I've listed these, along with the quantities issued and Scott '10 Catalog Values, below:

-1962 First Printing (Scott #1-19; overprint 17mm x 3mm long; 45,000; $ 60.00 )

-1963 Second Printing (Scott #1a-19a; overprint 17.5mm x 3mm long; 108,000; $ 35.75)

-1963 Third Printing (Scott #1b-9b; overprint 14mm x 2.5mm long; 3,500; $ 178.50 )

-1963 Fourth Printing (Scott #1c, 5c; overprint 19mm x 3.5mm long; 1,500; $ 175.00 )

The third and fourth printings may seem undervalued, but there are a couple of factors which render them speculative. First, fake overprints exist (and may even exist for the first printing as well), and based upon the current values of these stamps, it generally would not be practical to spend money on getting them expertized. Secondly, the third and fourth printings may not have been "regularly issued"; in other words, they may have been produced solely for stamp collectors. Scott lists them, but questions their status.

My feeling is that while the "status question" may put a drag on the two better printings in the short run, it will diminish in importance over time. The risk of buying a faked stamp is of far greater concern, so I'd recommend steering clear of the Third Printing for now, and purchasing the Fourth Printing stamps conditional on obtaining expertization for #5c (Sc.'10 CV = $130.00), even if it seems somewhat expensive relative to the cost of the stamp. Buying #1c and 5c in blocks and getting 5c expertized would be more economical, but blocks might be hard to find.

The three relevant sources of demand for this issue are collectors of the Netherlands, Indonesia, and United Nations. With about 16.6 million people, the Netherlands is the 16th largest economy in the world, and its annual GDP growth has averaged about 2.5% over the last 5 years. Indonesia is a developing, though still poor, country of 230 million people, with an annual GDP growth rate hovering around 5%-6%. Like most emerging market nations, it faces serious challenges which will have to be addressed, including corruption and major inequities in the distribution of income. The market for UN stamps (as well as those issued by its forerunners) should grow over the very long haul as institutions of world government develop in order to take on serious (and possibly existential) problems which can only be coped with globally. Despite the present inadequacy, corruption, and ineffectiveness of the UN, I view its reform and gradual strengthening as a gradual but irresistible trend.

Furthermore, global aging trends in both the Netherlands and Indonesia should bolster the population of serious stamp collectors in both countries in the coming decades. The Netherlands' population of citizens age 60+ is projected to rise from 18.3% in 2000 to 32.8% in 2050, while Indonesia's 60+ age group is expected to almost triple, from 7.6% to 22.3%.

Stamp Investment Tip: Hawaii 1883-86 Definitives (Scott #42-49)

Between 1883 and 1886, the Kingdom of Hawaii issued a set of definitives picturing members of its royal family (Scott #42-49). Only 17,350 sets were issued, and Scott '10 values the unused set at $ 797.75 ($ 1,884.- for NH).

It is surprising that there are still many undervalued stamps of Hawaii, given that it is the most popular U.S. Possession among U.S. collectors, and that it is an important cultural and economic nexus between the U.S. and the Far East.

Many of the definitives of the Kingdom Period and the later Provisional Government overprints may be found quite well centered. As the P.S.E. (Professional Stamp Experts organization) now grades U.S. Possessions stamps, I advise selecting for condition and centering when purchasing them. Should the current grading fetish persist, Hawaiian stamps that grade XF-90 or higher will sell at auction for multiples of their catalog value.

Stamp Investment Tip: Ecuador 1929 Plane (Scott #C8-15)

In 1929, Ecuador issued its second airmail set, picturing a plane over the River Guayas (Scott #C8-15). Only 2,000 sets were issued, and Scott '10 prices the unused set at $ 169.70 . This is yet another example of an absurdly undervalued Latin American issue, which should do very well as the economies of the region continue to grow.


Many of those who collect Ecuador also collect stamps of South America, Central America, or all of Latin America, so demand tends to be more generalized than usual. This is not to say that there isn't demand originating from collectors focusing on the individual country as well, but rather that the tendency to collect the whole region is an important factor to consider.


Ecuador, a democratic republic of 13.6 million people, is considered a medium-income country, with about 38% of its population living below the poverty line. Ecuador's natural resources include petroleum, fish, shrimp, timber and gold. In addition, it has a prosperous agricultural sector, producing bananas, flowers, coffee, cacao, sugar, tropical fruits, palm oil, palm hearts, rice, roses, and corn. While Ecuador's economy suffered during the 2008-09 financial crisis, weathering a default and repurchase of its debt at a discount, it seems to be recovering. Annual GDP growth over the last 5 years has averaged almost 5%.


I have begun a new blog, "The Stamp Specialist", which will feature wholesale buy prices for stamps which I am interested in purchasing. It includes a buy list for Ecuador, and includes the set recommended in this article. Viewing dealers' buy lists every now and then is an excellent way to keep current on the vagaries of the stamp market.

General Commentary: The Bull in the China Shop

Recently, a prominent Chinese dealer published an extensive buy list for stamps of the P.R.C., with buy prices which significantly increased the wholesale values of key P.R.C. stamps. The most dramatic increases seem to be for many of the better souvenir sheets and for issues of the Cultural Revolution. The question is: does this represent a pivotal event for the P.R.C. market, and perhaps for the global stamp market as a whole, comparable in its implications for the stamp market to the effect of the failure of Lehman Brothers on the stock market (except, of course, that the new buy prices represent a positive development rather than a negative one)?

It's quite possible that the buy list was simply an attempt to manipulate prices upward, so as to increase the value of a dealer's inventory. But does this even matter? The Chinese stamp market has been hot for a while now, and it would be surprising if price manipulation was not utilized as a catalyst every now and then.

It's also possible that the new buy list is evidence of a bubble.

"The Entire Nation is Red" Design Error (Scott #999A)

To attempt to get a better idea of what is going on in the market for better P.R.C., I've done a little research, comparing buy prices of a few key items over the last 6 years. These quotations are approximate representations of wholesale value, and not by any means comprehensive, in that they do not take into account all P.R.C. buy lists for any given period.

(Prices are for VF NH)


1958 Kuan Han-ching s/s (Scott #357a):


2004: $ 65.00
2006: $ 75.00
2007: $ 85.00
2008: $ 130.00
March, 2010: $ 215.00 ; April, 2010: $ 340.00


1961 Table Tennis s/s (Scott #566a):

2004: $ 180.00
2206: $ 225.00
2007: $ 225.00
2008: $ 275.00
March, 2010: $ 800.00; April,2010: $ 1,180.00


1962 Mei Lan-fang s/s (Scott #628):

2004: $ 1,800.00
2006: $ 2,500.00
2007: $ 3,000.00
March, 2010: $ 10,000.00; April, 2010: $ 11,000.00

1964 Peonies s/s (Scott #782):

2004: $ 400.00
2006: $ 500.00
2007: $ 500.00
March, 2010: $ 2,000.00; April, 2010: $ 3,650.00

1967 Thoughts of Chairman Mao- unfolded strip of 5 (Scott #948a):

2004: $ 325.00
2006: $ 750.00
2007: $ 750.00
March, 2010: $ 2,500.00; April, 2010: $ 3,300.00


1967-68 Poems by Chairman Mao (Scott #967-80):

2004: $ 475.00
2006: $ 800.00
2007: $ 800.00
2008: $ 1,300.00
March, 2010: $ 2,200.00; April, 2010: $ 3,000.00


1968: "The Entire Nation is Red" (Scott #999A):

2004: $ 8,000.00
2006: $ 10,000.00
2007: $ 10,000.00
March, 2010: $ $ 60,000.00; April, 2010: $ 75,000.00


1978 Science Conference s/s (Scott #1383a):

2004: $ 140.00
2006: $ 150.00
2007: $ 160.00
March, 2010: $ 400.00; April, 2010: $ 490.00

1979 Study Science s/s (Scott #1518):

2004: $ 300.00
2006: $ 510.00
March, 2010: $ 1,600.00; April, 2010: $ 1,950.00

1980 Year of the Monkey (Scott #1586):

2004: $ 100.00
2006: $ 215.00
2007: $ 200.00
March, 2010: $ 800.00; April, 2010: $ 975.00

The gains are astounding, to the extent that they defy analysis. In certain respects, the situation certainly looks like a bubble. As the expression goes: "If it walks like a duck and quacks like a duck, then it probably is a duck." The only problem is that in this case, we're dealing with Peking Duck, a bionic "superduck" powered by tens of millions of Chinese collectors.

On the one hand, I can not advise buying many of the dramatically revalued items at their new stratospheric levels. On the other, I've been bullish about the Chinese stamp market for decades, and will not bet against it. In the long run, even the items which are currently being hysterically bid upward may turn out to be good investments. My recommendation is to wait until at least some of the dust has cleared, and the shock has at least partly worn off, and then target better items which have not been as hyped, and which haven't experienced such rapid increases in value. They represent safer bets, and their day will come.

Stamp Investment Tip: Republic of China 1954 Silo Bridge Souvenir Folder (Scott #1095a)

In 1954, the Republic of China, otherwise known as Taiwan, celebrated the first anniversary of the completion of its Silo Highway Bridge with the issuance of a souvenir booklet containing a souvenir sheet (Scott #1095a). Only 10,000 booklets were issued, and Scott '10 values it at $ 1,375.00.


Better stamps and souvenir sheets of the R.O.C. have done well over the last few decades, but the market has been cooler than that for stamps of the People's Republic. I believe that as capitalism and incremental democratization take hold in the P.R.C., relations between the "two Chinas" will gradually improve, as will demand for stamps of the R.O.C.. The process of thawing may have already begun: as of 2008, more than $ 150 billion has been invested in the P.R.C. by Taiwanese companies, and about 10% of the Taiwanese labor force works in the P.R.C., often to run their own businesses.

In the meantime, most of the demand for stamps of Taiwan will originate from collectors in Taiwan itself and among overseas Chinese (of which there are approximately 35 million). Taiwan, a nation of 23 million people, is one of the four "Asian Tigers," and has experienced explosive economic growth and industrialization over the last 5 decades. Annual GDP growth has averaged about 4% over the last 5 years, but this reflects the zero growth of 2009, a result of the global financial mess.