Current State of Indian Gems and Jewelry Industry

The Indian Jewelry and Gems market has been reporting elucidate details regarding the Indian jewelry and Gems Industry based on the data available from various surveys conducted in different markets all over the country. Few topics were laid stress on while doing the survey these topics includes product profile, quality, etc.

• Products of different shape, categories of jewelry and gems like silver, gold, diamond and colored gemstones.
• Trade characteristics detailed with regards to intensiveness, labor and effective capital, raw material, branding, export orientation unorganized sector and certification.
• Extensive reporting on import and export traffic with at least 4-year facts on country wise and product wise exports of jewelry and gems and manufactured goods wise imports of jewelry and gems.
• Charge analysis: analyzing interest cost and raw material cost.
• Brief note on government regulations and duty structure in the business.
• SWOT: examination and Porter’s Six Force model.
• A brief summary of five input companies with at least 4 years of data on operational and financial parameters, company’s weaknesses and strengths, company’s action plan and company’s outlook.

Jewelry and Gems have been worn in the Indian civilization ever since ages. Indian community has used gems and jewelry since a long for both investment as well as aesthetic purposes. Costly stones and metals have been a part of the Indian civilization since its recorded olden times. Indian civilization has the merit of being the foremost civilization to bring gemstones in the world market for sale. India was also the first country to polish mine, cut and trade in gold and diamonds.

The Gems and Jewelry business can be classified into a range of subordinate segments like gold, colored stones, diamonds, pearls, silver jewelry etc. But still the key segments of trade in India are diamonds and gold. Indian market dominates the world diamond trade market. In India only 11 out of 12 diamonds are polished, mined and cut. Indian civilization is not only the largest trader of gemstones but also the largest consumer of gold and diamond all over the world. On an average India consumes 850 tones p.a. of diamond and gold each year. The gems and jewelry trade holds important significance in India as the country is a very big exporter of gold and diamond and the trade provides service to about 1.3 million citizens of the country indirectly and directly.

This business is characterized by a extremely unorganized trade labor concentrated operations, raw material and working capital intensiveness, export orientation and price instability of the gold in particular. Demand for diamond and gold jewelry is increased by wedding and festivals season, rising affluent and middle rank population and increase in per capita spends on comfort objects.

Although India plays a very vial role in terms of consumption and processing of Jewelry and gems the country is still amongst the lowest in the list of countries, which mine gold and diamond. India imports jagged diamonds and gold along with other metals. Diamond is sourced from countries like Australia, South Africa, Switzerland, U.K. etc and diamonds are purchased from countries like Israel, UK, Belgium, U.S.A., etc. With international force to enhance beneficiation in rural South African mining areas, latest polishing and cutting centers like Angola, Botswana and Namibia are emerging, sinking India’s supremacy in diamond and gold processing.

Experts are expecting the sale of gold and diamond to increase in the coming times due to the introduction of new business preference like Certifications and Hallmarking. The chief factors that are responsible for the increase in gold and diamond business are raising non-refundable profits, conscious advertising efforts, increasing young populace with a fascination to pay out and jewelry regarded as a fashion trend. Yet the trade is expected to have heavy losses in coming times due to increasing economic crises worldwide and people saving money in comparison to shelling it out. Also, imports and exports market is having a bad hit with financially strong nations like Europe and US in slump.

In this era of economic crisis, with reducing margins and higher costs big diamond processing organization are expected to move to comparatively high margin areas like retail market. The trade is expected to view a consolidation in the coming years with small traders either merging with bigger organizations or finish down operations.

Diamond and gold jewelry is generally cut and crafted by hands. Jewelry made by hand has an exclusive look different from fabricated jewelry that at times gives a cheaper look. Many people in India have their bread and butter totally dependent on this hand crafted gold and diamond jewelry. Moreover they create the fine art designs to make an income for them. By buying old and artistic Indian jewelry you can act as a helping hand in making their history popular as each piece of work or art has some or there linkage to their vivid history and past.

Indian jewelry industry in the history was time and again referred to as the gemstone in the crown. Looking at the countries past we will discover that jewelry was a very big part of the countries history. Indian jewelry was famous for its intrinsic value and its history goes back to the times of Harappan and Mohenjodaro civilization, which were amongst the foremost civilizations that existed in the country. Indian jewelry has had a very big linkage to gods and goddesses as the jewelry was regularly designed on their sculptures and paintings. Indian jewelry industry is a very big industry and ranges from usage in bridal dresses, spiritual and temple works. The shrine jewelry in the Indian jewelry variety involved the decoration of statues of goddesses and gods with smooth ornaments, which were either hand crafted with complicated filigree or strung with beads. The statues of gods and goddesses were also decorated with a large number of smooth rings, which came fitted with gemstones. This is the complete description of Indian jewelry industry and its history.