Jewellery Market In India

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Branded Gold Jewellery Market in India: The Gold Rush In the late 1990s, the Indian jewellery market witnessed a shift in consumer perceptions of jewellery. Instead of being regarded as only an investment option, jewellery was being prized for its aesthetic appeal. In other words, the focus seemed to have shifted from content to design. Trendy, affordable and lightweight jewellery soon gained familiarity. Branded jewellery also gained acceptance forcing traditional jewellers to go in for branding. Given the opportunities the branded jewellery market offered; the number of gold retailers in the country increased sharply. Branded players such as Tanishq, Oyzterbay, Gili and Carbon opened outlets in various parts of the country. Traditional jewellers…show more content…
India has seen a significant growth in disposable incomes as a result of the economic growth that it has been enjoying. This income is spread in the rural areas also. According to the Tata Statistical Outline of India – 2005-06, around 60 per cent of the rural income is from north and east. Depending on the size of the market, retailers work with multiple formats – currently they are partnering with local jewellers and these jewellers retail their brands, commonly known as the ‘shop in shop’. These stores would carry a merchandise mix and are in the range from 600- to 1,000 square…show more content…
Out of which nearly 600 tonnes goes into making jewellery. According to The World Gold Council (WGC) total gold supply in the second quarter this year stood (Q2FY08) at 840 tonnes, whereas the demand was 944 tonnes. A study by KPMG reveals the Indian jewellery market to be US$ 13.5 billion in fiscal 2006-07, accounting for 8.3 per cent of world jewellery sales. However the export of diamond-studded jewellery from India is merely 4 per cent of the total export of gems and jewellery worth US$ 18.06 billion. Since the demand of diamond-studded jewellery among Indian consumers has risen sharply, the industry should focus on the domestic market. Diamantaires, in Surat's US$ 11.29 billion diamond industry, are eyeing jewellery manufacturing in a major way, after DTC has decided to prune supply of rough diamonds to India. If India becomes a manufacturing hub for jewellery as well as a consumption market it will just prove India’s strength in both

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