Indian diamond industry looks positive in coming months
Budget 2014 might not have resolved the plight of jewellers but rationalizing the import duty of broken diamonds and withdrew the import duty on pre-forms of semiprecious and precious stones is definitely welcomed by the diamond industry. Sachin Jain, President of Forevermark India admits that the Budget 2014 didn’t have anything such dramatic but 2014 is going to be a profitable year for the diamantaries.
Indian diamond industry has come a long way as we see a greater demand for diamond jewellery. India is the third-biggest market for London-based Forevermark after the US and China. Forevermark that entered India in 2011 is already associated with more than 120 retailers across 20 states in the country. In fact, the brand expects to contribute 30 per cent to De Beers global performance in coming three to four years. Despite a slump in the Indian economy last year, sales in both value and volume terms grew by 40% as Indian consumers have started looking at diamonds as an alternative investment.
Sachin Jain, President, Forevermark India, said, “The India market is looking much more positive compared to last year as sentiments have improved with the new government coming in. We have set a target to grow our India revenues by 60 per cent in the next one year.” He believes the times are changing and the coming generations are receptive about diamonds. Budget 2014 was expected to bring a positive wave in the gems and jeweller
y industry; however, it turned out to be a disappointment as it didn’t had much for the industry. Jain shares, “There was nothing such dramatic from budget perspective. But with a stable government, rupee and dollar there is a better momentum in the market. The year ahead looks positive from trade perspective.”
Consumers taste and preferences are changing rapidly. ‘Simplicity’ is in vogue according to the President of Forevermark India. He says, “Single diamond products that are simple are in great demand. Consumers seek diamond jewellery that can be worn regularly, not just the big pieces. Diamonds integrated in gold, platinum and varied shapes and styles is also gaining momentum in India.” In fact, people are moving away from their regular family jeweller and seeking for branded products. Hence, Forevermark is working hard on brand building measures. “We have started with building confidence among consumer about Forevermark Diamonds, which are not synthetic or treated and they are naturally produced. We are focusing on interactivity by different means and creating new designs on the lines of simplicity to be connected with the consumers at ground level,” said Jain. Forevermark will also be launching their new ad campaign across television, print and cinema by August-end.
Taking a note of the growing diamond demand in the country, the premium diamond brand – Forevermark from DeBeers group, the world’s largest diamond company, is now ready to start-up with their new assessment facility in India. Jain highlights that this facility will be their 2nd lab after the Forevermark Diamond Institute in Antwerp, Belgium, where diamonds are graded. He shares, “This year is a strong year for us not only in terms of growing demand but also we are expanding with our 2nd lab in India at Surat. It is a big move from us and the institute will cater to large number of companies across the globe.”