This action might not be possible to undo. Are you sure you want to continue?
Chemicals Pharmaceutical Textiles
Preface |Foreword|Executive Summary|Sector Overview|Foreign Trade|Regulations & Policies|Key Issues |Interview|Company Profiles|Partners|Launch Event|Editorial Team
Evolution of the Indian Oil & Gas Industry Structure & Current Status Oil Pricing in India Key Regulatory Policies Key Issues & Future Outlook Development of Alternate Fuels De Beers Pvt Ltd Gems & Jewellery Export Promotion Council Gitanjali PP Jewellers P.P. Jewellers Asian Star Co India Ltd Gitanjali Gems Ltd Rajesh Exports Ltd Suashish Diamonds Ltd Su-Raj Diamonds and Jewellery Ltd Titan Industries Ltd Flawless Diamonds India Ltd Shrenuj & Company Ltd Classic Diamonds India Ltd Bengaluru Kolkata
Introduction The Gems and Jewellery sector, being highly export oriented, is a significant contributor to India’s foreign exchange earnings. Exports from this sector constituted around 17% of the total exports from India during FY00 to FY09. The sector is heavily dependent on imported raw materials as availability and production of raw materials is very low in India. In fact, India has been one of the largest importers of gemstones, rough diamonds and precious metals over the years and most of these imports were used for value addition and exports. India is also one of the largest consumers of gold in the world, as it accounts for more than 20% of the world gold consumption.
The stimulus package provided by the government to combat the slowdown that included interest rebates. as compared with US$ 8. the sector had been severely affected. The slowdown in the Indian economy coupled with the steep rise in gold prices has also affected the domestic demand for gold jewellery. Both exports (since September 09) and imports (since October 09).12 bn in FY09 which translates into a CAGR of around 11. the global credit crunch has affected the exporters. it remains very susceptible to external developments such as fluctuations in international commodity prices. Evidently. and the consequent slowdown in the global as well as the domestic economy. including de-licensing of .47%. The sector has not only witnessed deterioration in its export growth rate but also in its share in India’s total exports. with the recovery in the domestic economy since the second quarter of FY10 and gradual uptake in the external demand conditions. Moreover.1 bn during FY00. extension of credit periods and export duty benefits have also aided the sector to weather the effects of slowdown. Exports of the Gems and Jewellery sector The Gems & Jewellery sector has experienced high growth over the years on the back of a buoyant performance in its exports. However. which is the largest importer of India's gems and jewellery. especially the smaller players.8 bn and US$ 7.Given the export and import dependence of the industry. with the onset of global economic recession.65% over FY08 and FY09. during FY01-FY02. Net exports during FY01 and FY02 fell to US$ 7.99 bn in FY91 to 21. therefore. gold jewellery exports had remained resilient as it registered a positive growth. respectively. Total exports of Gems and Jewellery has registered an impressive growth from US$ 2. have experienced an upturn in growth. However. The government took important policy initiatives. as they have to depend heavily on export credit. exchange rate or external demand. the share of the sector in India’s total exports fell to an average 12. while the decline was mainly in exports of cut and polished diamonds (CPD). the sector has witnessed some positive developments. the slowdown in the US. in fact. and some other importer countries.6 bn. led to a demand contraction and a subsequent decline in the export growth rate for the sector. The government had also increased the pre-shipment export credit period (from 90 to 180 days) and postshipment export credit period (from 180 to 270 days) to ease the longer inventory cycles faced by the sector.
reduction of import duty on un-worked corals and rough synthetic stones from 30% to 10% coupled with various trade facilitation measures undertaken by the government provided a boost to the sector. . the sector witnessed a decline in exports during the last two quarters of FY06. However. Further. Sluggish demand from the US continued during FY07 as well. production and movement of goods.67% during FY08 as compared with a high growth rate of 34. during FY06 and FY07 the sector witnessed a deceleration in the rate of growth (6. However during FY08. to give a boost to this sector. fiscal measures such as reduction of import duty on cut and polished diamond (CPD) to 0%. This was reflected in the growth in the exports during FY03. 2002). however. had also benefitted the sector to some extent. Under the above scheme exporters of medallions and coins used to register their exports in the jewellery category and these exports constituted a significant part of the jewellery exports due to their size.18% during FY07. owing to the market slowdown in the US. which helped in increasing the competitiveness of gems and jewellery sector by making imports of raw materials cheaper. a slowdown in demand for gold jewellery was witnessed worldwide. The growth momentum in exports continued during the following two successive financial years. Moreover. After the termination of the benefit.50% was implemented on the precious metals and jewellery exported from India to the US. the change in the value-added norms. The exporters also faced delay in payments especially from the US. which was a long standing need. 2007. Factors such as abolition of the Target Plus Scheme affected the exports during the first quarter of FY06. also affected the exporters. Growth in the exports of gold jewellery moderated to 6. a basic import duty of 5.the import of rough diamonds (with effect from April 1. appreciating rupee. Besides. The appreciation of the rupee during FY08. as per which only the gold content was considered as the base. India’s exports of gold jewellery recorded a significant moderation. The US GSP benefit was terminated on the grounds that the articles from India were exported in quantities exceeding the applicable competitive need limitation during 2006.5% during FY06 and 2. the sector achieved a commendable export growth rate of 21. Due to the volatility in gold prices in FY08 and global economic downturn. In FY08 the gems and jewellery sector showed resilience amid turbulent market conditions. The facility of duty-free treatment under the General Scheme of Preferences (GSP) for precious metals (other than silver) and articles of jewellery enjoyed by the Indian exporters was terminated by the US from July 1. heavy rains that flooded Surat and Mumbai affected the diamond exporters and disrupted office attendance. Exports during FY03 grew by 21. as per which value addition was to be calculated on the entire piece of jewellery (including diamond and precious stone content) instead of the earlier method. Besides. there was a decrease in the diamond trading activities of bonded warehouses. This growth could be partially attributed to the increase in trading activities.36% as compared to a decline of around 3% during the previous financial year.7% during FY07) in net exports due to the dismal performance in the cut and polished diamonds segment. termination of GSP benefits and economic slowdown in major export markets. Moreover.47% (y-o-y) during FY08 in the face of high interest rates.
The overseas demand erosion. which manifested during the second half of FY09. the global economic slowdown. the increase in export growth rates since October 2009 can be partly attributed to the base effect. However.94% (y-o-y) during January 2009. the sector was able to achieve a marginal growth rate of 1. which clocked a high growth rate of 23. Nonetheless. which is heavily dependent on bank financing. The contraction in the decline in exports continued during the first five consecutive months of FY10 as well. The various incentives announced by the government for the sector to combat the slowdown have also in part helped the sector in its recovery. the export growth in rupee terms had turned positive since July 2009 mainly due to the depreciation of the rupee against the US dollar. As one of the largest cutting and polishing centre of diamonds in the world.29% during FY09. severely hindered the purchasing power of the jewellery customers. Besides. shutting down of manufacturing units and retrenchment in the sector. Despite the slump in exports of CPD segment (the CPD segment witnessed a decline of around 8% in exports in dollar terms). mainly from US led to postponement or cancellation of orders resulting in inventory build up. the Indian CPD segment has always held the largest share in the total exports of gems and . the March 09 export figures point out to the fact that the pace at which the exports were declining has been arrested to some extent.During FY09.75% on a y-o-y basis. Exports during March 2009 registered a decline of 16. both external as well as domestic.32% in dollar terms on account of gold jewellery export sales. tightening of foreign currency credit facilities and high interest rate during the first half of the year also adversely affected the CPD sector. as export figures had started declining in absolute value terms since October 2008 due to the onslaught of the global financial crisis. With the stabilising of demand conditions from India’s major trading partners. The growth in Gems and Jewellery exports has been primarily driven by the CPD segment over the years. there has been a growth in exports in dollar terms from the sector since September 09. erosion of profit margins. However. while they were down by about 33. the growth in the net exports during FY09 remained in the positive territory mainly due to the robust performance during the first half of the year. In spite of this.
11 bn in FY03 to US$ 13. however. . over the years.02 bn in FY09. this segment held an average share of around 83% in the net exports of gems and jewellery during FY92 to FY02.51 bn in FY03 to US$ 6. India primarily focussed on exports in cut and polished diamonds owing to its traditional expertise in diamond cutting and polishing. The share of gold jewellery in India's net exports of gems and jewellery increased from merely 6. CPD exports grew from US$ 7. its share shrank to around 69%. the fall in the share of CPD exports has been increasingly replaced by the growth in exports of gold jewellery. Growing by around an annual average growth rate of 9%.50% in FY03 and to 32.69%. However. FY03.80% in 1990-91 to 16.86 bn in FY09 at a CAGR of 28. Exports of gold jewellery (as shown in the graph below) also witnessed an increase from US$ 1. it had continued to register an average growth rate of around 13% during the above mentioned period.47% in FY09. since. Recognising the growing acceptance of Indian gold jewellery in the world market the government had initiated several measures including a medium term strategy in FY06.jewellery. Even though its share in net exports had fallen.
rough coloured gemstones. which are then sold either in the domestic or international market. As raw materials for the sector are largely imported. The sustained buoyancy in exports of gems and jewellery over the years reflects the effects of continuing policy initiatives taken by the government over the years. Moreover. Under the Market Development Assistance and Market Access Initiative scheme of the Government undertaken during the foreign trade policy of 2004-09. Developing market intelligence with a focus on key markets including NRIs. Integration throughout the jewellery supply chain from mining of raw materials to retailing of end products as well as joint venture manufacturing with the leading suppliers of the world. steps have also been taken to encourage: creation of training infrastructure to impart skills to artisans in jewellery designing. c. . synthetic stones and raw pearls are largely imported for value addition and for preparation of final products. and arrangement of buyerseller meets abroad to showcase the quality and variety of Indian products. participation of exporters in international fairs. In fact.The following measures were a part of this medium-term strategy: a. the government has focussed on reducing the barriers to import raw materials. The share of exports of coloured gemstones in India’s net exports is very small. Measures such as gradual liberalisation of gold import in the country and opening of gold trading in exchanges had also provided a boost to the gold segment. India has a rich resource of highly skilled and low cost labourers which is effectively utilised by the Indian manufacturers in this sector for creation of highly value added goods. India is a net importer of pearls and synthetic stones. Identified as a thrust sector which has prospects for export expansion and for employment generation under the Foreign Trade Policy of 2004-09. special policy initiatives had been announced to increase the competitiveness of the Gems and Jewellery sector. b. Hallmarking and certification of gold to aid the development of Indian brands in the jewellery market.
UAE. Israel. Chennai) and Noida Export Processing Zone (NEPZ. India does not export the same because it lacks natural resources for platinum. The export data from the various SEZs in India are given below. Over the years. the US. The US is the largest importer of Indian gems and jewellery as it accounted for more than 29% of the total exports during FY06 to FY07. as the demand for platinum jewellery is restricted to high-end customers and is not very robust. platinum bars are imported into India. Noida) are some such SEZs. The gems and jewellery units. Also the 5. have the facility of receiving precious metals such as gold/silver/platinum prior to exports or post-exports equivalent to the value of jewellery exported. Destination-Wise Exports Indian handmade jewellery enjoys immense popularity among the Indian emigrant population.47% in FY07. when the US economy was engulfed in recession. Hong Kong. Madras Export Processing Zone (MEPZ. However. Belgium. that ended the US-GSP benefit on Indian jewellery. its share in India’s total gems and jewellery exports fell to 26. The jewellery manufacturing and exporting units based in these SEZs primarily supply diamond-studded jewellery. affected India’s export to the US. Japan Thailand. 2007 on the jewellery imported from India. though in very low quantities. SEZ Wise Exports With an aim to provide special incentives to this highly export oriented sector the government has set up various SEZs and Export Oriented Units (EOUs) and Export Promotion Zones (EPZs). Santacruz Electronics Export Processing Zone (SEEPZ.50% basic import duty imposed by US with effect from July 1. which are located only in SEZs and EOUs. Mumbai).Even though platinum jewellery is highly sought-after in the international markets.10% in FY08 from 31. however. UK and Singapore have been the major export markets for the Indian gems and jewellery sector. . while a few units in the domestic tariff area (DTA) supply plain gold jewellery.
reducing the barriers to imported raw materials. The total imports in the sector have witnessed a steady increase over the years.However. Imports of Gems and Jewellery The raw materials required for manufacturing gems and jewellery are scarcely produced in India and hence. which affects the profitability of the sector to a large extent. the manufacturers have to endure the risk of exchange rate and global commodity price volatility. It is expected that this growth momentum will continue and several other opportunities will open up in the Middle East market for the Indian gems and jewellery sector. especially since FY03. Considering that the slowdown in India’s traditional export regions such as US has affected the exports for this sector. China. India’s export to UAE registered a growth of 34.63% in FY08. Consequently. Exports of gems.94% during FY07 and 30. Russia and the CIS countries. for this highly export oriented sector. jewellery and precious stones to UAE have grown steeply during the last three years. India is looking towards diversifying its export market to Latin America. The government has time and again taken various measures such as: de-licensing gold imports. one of the competitive disadvantage that it faces is the fact that most of the raw materials required are imported. lowering the customs and excise duties to facilitate imports and for enhancing the competitiveness of the sector.54 bn during FY09. the sector heavily depends on imports. which could be partly attributed to the various measures taken under the EXIM policies to facilitate imports of this sector. Total imports increased from US$ 5. exports to Hong Kong and UAE have grown rapidly.81 bn in FY00 to US$ 7. This growth is driven by UAE’s growing tourism and multicultural population. Thus. over the last 2 years.71 bn in FY03 and to US$ 19. .
India imports almost its entire requirement of rough diamonds. . as a result. 2007). another reason could also be that the players in the diamond sector decided to reduce the import of rough diamonds for some time to ease the pressure on inventory and to help the sector face the challenge that had risen out of turmoil in the global financial market. which is one of the largest diamond manufacturing centres. India has been increasingly importing cut and polished diamonds. this exemption of import duty of cut and polished diamonds would provide a boost for the diamond sector and will enable India. However.19% (y-o-y). the imports of these diamonds saw more than two-fold increase during FY08 from FY07 and the trend continued in FY09 as well. imports of rough diamonds during FY09 witnessed a significant decline of 23. to gain a strong foothold in the global market as a global trading hub for gems and jewellery. Further. Even though low demand from domestic as well as external markets was one of the reasons. The CPD has been completely exempted from import duty (as on May 3.In recent years.
Israel. festivals et al. Australia. Factors Affecting Imports of Gems and Jewellery Exchange Rate Volatility The rupee-dollar exchange rate determines the manufacturing competitiveness of this sector by impacting the import cost. which continued during FY10. In India. demand remained severely subdued. During the first 2 quarters of FY10. This leads to supply tightness during the peak season. UAE. Premier Trading Houses & Star Trading Houses (only for Gems & Jewellery Sector) besides Diamond India Limited (DIL). The government has also come out with the guidelines (as on Mar 31. Increase in gold price and its volatility. etc while gold jewellery is imported from Switzerland. Hong Kong etc. This is likely to benefit the exporters. precious & semiprecious stones are imported from Belgium. nonetheless. Destination-wise Imports India imports rough diamonds mainly from Belgium. MSTC Limited and STCL Limited have been added under the list of nominated agencies for the purpose of import of precious metals. imports of gold bars and platinum bars witnessed a sizeable increase. The increase in imports of gold bars in value terms could be in part attributed to the steep rise in gold prices during FY09. UAE etc. Importing Agencies for Gold The following agencies / entities are entitled for direct import of precious metal a. demand for gold rebounded due to seasonal factors such as weddings. had an impact on the demand for gold in the domestic market. Europe has been the largest importing destination for India followed by the Middle East. In a recent move by the Ministry of Commerce & Industry (as on Feb 26. South Africa. Agencies / entities notified by the Department of Commerce: o MMTC Ltd o State Trading Corporation (STC) o The Projects & Equipment Corporation of India Ltd o Handicraft and Handloom Export Corporation (HHEC) o EOU and SEZ gems and jewellery units for their own consumption. Raw pearls. UK. Designated banks notified by the RBI-At present there are 23 banks that are approved by the RBI for this purpose b. Oceania and Asia.While most categories of gems and jewellery imports declined during FY09. direct import of precious metals including gold is restricted to certain agencies and institutions. Rupee had started depreciating against the dollar since end- . especially the small players and improve distribution across the country. during the third quarter of FY10. 2009) where at least 10% of the imports of each designated importing enties will have to be supplied to the exporters. the UK. 2009) in order to ease the supply constraints the following agencies such as The Gems & Jewellery Export Promotion Council (G&JEPC).
. thus. Consequently. it witnessed a steep depreciation that resulted in high import cost of raw materials. and during FY09. Manufactures were. especially gold prices. it is unlikely to benefit importers through reduced import cost given the rise in the international prices of the raw materials. the profitability of the sector came under duress. have led to postponement of purchase plans of gold jewellery among the gold customers. Faced with credit crunch and low demand conditions investors and bullion dealers have imported less gold to India during FY08. which continued to depreciate from April 09 onwards. Besides. started witnessing appreciation from October 09. not only facing a decline in demand due to global slowdown but also bearing the brunt of increasing cost of raw materials on account of rupee depreciation. The spike in the gold prices has affected the demand for gold jewellery in the domestic market during 2008. as raw material cost constitutes a significant part of the production cost of gems and jewellery. The rupee. uncertainty in the global and domestic markets followed by retrenchment across the sectors. While appreciation of the rupee might benefit exporters. which would have provided some fillip to the export demand in normal market conditions.FY08. was not able to provide support as major export destinations were bearing the brunt of economic recession during FY09. remained highly volatile since 2008. The depreciation of the rupee against the dollar. Volatile Commodity Prices Commodity prices.
procure jewelery from India. despite high prices. Third largest consumer of polished diamonds after USA and Japan. will improve due to the buoyant domestic demand conditions.com/gemjewell. traditionally the world’s largest gold market. 4% of the global Gems and Jewelery market.According to the World Gold Council. Structure . the government also needs to continue to facilitate the players in this sector to help them gain a stronger ground. due to the festival (for example Diwali) and wedding-related purchases. coupled with low currency volatility. India is the largest diamond cutting and polishing centerer in the world. Walmart. 60% value share. 85% volume share and 92% share of the world market by number of pieces.7 tonnes owing to high price of the precious metal coupled with a slowdown in demand conditions in the domestic economy. The total demand for gold in India declined significantly by 83% (y-oy) during Jan-Mar FY09 to just 17. the demand witnessed a strong recovery during the third quarter of FY10. the e-commerce opportunities that are being explored by the players will also aid their plans to tap into new markets. Accounts for about 20% of world consumption.aspx The Overview Size Large market for Gems & Jewelery with domestic sales of over $10 billion. However. stability in the volatile prices of precious metals and appreciation of rupee. on the other hand.com/watch?v=X9zquRwZZlw&feature=player_detailpage http://www. declined by 15% while gold investment demand fell by 12%.youtube. A large portion of the market is in the unorganized sector. JC Penney etc. over 18% of India’s exports. export in this sector is likely to pick up in the near future. Further. India is the largest consumer of gold jewelery in the world. The imports of gems and jewellery. gold jewellery demand in India. in CY 2008.preciousmicrotech. Structure The Indian Gems & Jewelery industry is highly fragmented with a large number of domestic private sector companies.5 billion. However. http://www. India is gaining prominence as an international sourcing destination for high quality designer jewelery. High prices of gold as well as volatility kept the demand highly subdued during the first 2 quarters of FY10 as well. Exports of over $15. Outlook With the gradual recovery in demand in the global economy and the efforts for diversification of markets by the domestic players.
yet low-cost labor.04 Diamonds * (Quantity in 460. 18. A large portion of the market is in the unorganized sector . Highly skilled.16 1668.65 % Growth / decline over previous Year Rs.19 Lakh Carats) Gold 7958. Policy 100% FD is permitted in the Gems & Jewelery sector through the automatic route.99 April '08-January'09 (Same ports as current year) Rs. India is the most technologically advanced diamond cutting center in the world.91 384. Outlook India is the fastest-growing jewelery market in the world. Exports expected to grow from $15. India is gaining prominence as an international sourcing destination for high quality designer jewelery.79 0. Potential India has several well recognized strengths which have made it a significant force in the global Gems and Jewelery business.The Indian Gems & Jewelery industry is highly fragmented with a large number of domestic private sector companies. In US $ in Crores Million 55453. Branded jewelery likely to be the fastest-growing segment in domestic sales.69 ITEMS Cut & Pol 65693.5 billion in 2005 to over $25 billion by 2010. JC Penney etc.35 12458. In Crores US $ in Million 13789.49 -7.83 7919. April'09 January'10(Provisional) Rs. Opportunity India is one of the largest exporters of gems and jewelery India is the diamond polishing capital of the world. Expected to grow at 40% p. Established manufacturing excellence in jewelery and diamond polishing.46 19.2 billion by 2010. Opportunity to address one of the world’s largest and fastest-growing Gems and Jewelery markets. to $2. Opportunity to leverage India’s strengths to address the global market.18 1812.04 . SEZs and Gems and Jewelery Parks have been set up to promote investments in the sector.a. Walmart.92 US $ 10. procure jewelery from India.
28 6.80 Regulating Bodies The Gem and Jewellery Export Promotion Council (GJEPC): This is the apex body of the gem and jewellery trade in India.77 5977. Market study through experts in the field to identify new markets.84 11. Gold jewellery exports increased from US$ 5. India is the largest consumer of gold in the world. Market Trends The Indian jewellery market is one of the largest in the world. the Council provides market information to its members regarding foreign trade inquiries. with a market size of $13 billion. publicity and participation in international fairs. followed by China and Japan.T. As per the recordings of the Gems and Jewellery Export Promotion Council (GJEPC). of which nearly 600 tonnes go into making jewellery. The United States and Hong Kong were the largest importers of gems and jewellery from India. . To achieve this. trade and tariff regulations. which was set up in 1966 for promoting precious stones and jewelry exportations. It is second only to the US market of $ 40 billion and is followed by China at $11 billion.88 billion for 2007-08.JewelleryD. India consumes nearly 800 tonnes of gold that accounts for 20 per cent of world gold consumption. the total gems and jewellery exports from India stood at US$ 20.2 billion in 2006-07 to US$ 5.59 5596. Exploring the possibility of direct procurement of rough diamonds from mining countries. With strength of 6. rates of import duties. The following initiatives have been taken by the Gem and Jewellery Export Promotion Council in order to enhance competitiveness such as: Preparation of a medium term exports strategy for various sectors including gems and jewe llery by the Ministry of Commerce. followed by UAE at 21 per cent. the Council is primarily involved in introducing the Indian gem & jewellery products to the international market and promotes their exports. The gold jewellery market is growing at 15 per cent per annum and the diamond jewellery market at 27 per cent per annum. buyerseller meets and direct approach to market retailers. and information about jewellery fairs and exhibitions. Promotion of export of 'hallmark' jewellery from India to assure foreign customers of quality and purity of jewellery made in India. with a share of 26 per cent each.65 25623. Promotion of Indian diamonds and jewellery abroad through advertisements.6 billion 200708.500 members spread all over the country.A SEZ / EPZ 28512.
the sector registered a growth of 7. 85 per cent volume share and 92 per cent share of the world market in terms of number of pieces. In other words. The segment registered a growth of 23.e. non-gold jewellery and fashion jewellery.54 billion as compared to US$ 20.India exported rough diamonds worth only US$ 566 million in 2007-08 -.95 million during April 2008March 2009 as compared to US$ 276.the Indian diamond cutting and polishing industry enjoys 60 per cent value share. Coloured Gemstones: Exports of coloured gemstones were registered at US$ 265.42 per cent over the previous year. Cut and Polished Diamonds: During April 2008-March 2009.54 billion during the same period last year i. gold jewellery. Composition of Exports Gold Jewellery Exports: Gold Jewellery exports. The gems and jewellery sector contributes nearly 55% of the world’s net exports of cut and polished diamonds in value.02 billion as compared to US$ 14. Every 11 of 12 diamonds sold around the globe are processed in India.47 per cent during the same period over previous year. April 2007-March 2008. India's share in the diamond sector is about 80% of the world market. India accounts for almost 50% of the international market. with exports worth US$ 14. irrespective of where these are mined.India is the largest diamond cutting and polishing centre in the world . the total exports for gems and jewellery stood at US$ 22. The segment showed a growth of 0.18 billion in 200708. The Exports During April 2009-January 2010. colored gemstones.11 million during the same period last year. which primarily drove the growth in the sector. total exports of cut & polished diamond stood at US$ 13.64 per cent during same period over the previous year. 90% in terms of pieces and 80% in terms of carats.it is the world leader in cutting and polishing of diamonds. witnessed an increase of US$ 6. Employing over 90% of the global diamond industry workforce. Even though India does not contribute much to the world market in terms of rough diamonds -. During the same period. India also accounts for 90% of the volume of diamonds processed in the world. In terms of carat. With its cut and polished diamonds.19 billion during the same period last year. Regulating Bodies . pearls.86 billion during April 2008-March 2009 as compared to US$ 5.98 billion during April 2008-January 2009. nearly 9 out of 10 diamonds sold worldwide are cut and polished in India.
Exploring the possibility of direct procurement of rough diamonds from mining countries. Gold jewellery exports increased from US$ 5. which was set up in 1966 for promoting precious stones and jewelry exportations. Market study through experts in the field to identify new markets. 90% in terms of pieces and 80% in terms of carats. irrespective of where these are mined.the Indian diamond cutting and polishing industry enjoys 60 per cent value share.India exported rough diamonds worth only US$ 566 million in 2007-08 - . It is second only to the US market of $ 40 billion and is followed by China at $11 billion. and information about jewellery fairs and exhibitions. As per the recordings of the Gems and Jewellery Export Promotion Council (GJEPC). gold jewellery. With its cut and polished diamonds. nearly 9 out of 10 diamonds sold worldwide are cut and polished in India.88 billion for 200708. the Council is primarily involved in introducing the Indian gem & jewellery products to the international market and promotes their exports. Promotion of export of 'hallmark' jewellery from India to assure foreign customers of quality and purity of jewellery made in India.500 members spread all over the country.The Gem and Jewellery Export Promotion Council (GJEPC): This is the apex body of the gem and jewellery trade in India. India consumes nearly 800 tonnes of gold that accounts for 20 per cent of world gold consumption. followed by China and Japan. India is the largest consumer of gold in the world.6 billion 2007-08. The following initiatives have been taken by the Gem and Jewellery Export Promotion Council in order to enhance competitiveness such as: Preparation of a medium term exports strategy for various sectors including gems and jewellery by the Ministry of Commerce.2 billion in 2006-07 to US$ 5. With strength of 6. followed by UAE at 21 per cent. with a share of 26 per cent each. nongold jewellery and fashion jewellery. The gold jewellery market is growing at 15 per cent per annum and the diamond jewellery market at 27 per cent per annum. Promotion of Indian diamonds and jewellery abroad through advertisements. publicity and participation in international fairs. Market Trends The Indian jewellery market is one of the largest in the world. trade and tariff regulations. India is the largest diamond cutting and polishing centre in the world . Every 11 of 12 diamonds sold around the globe are processed in India. the total gems and jewellery exports from India stood at US$ 20. pearls. buyer seller meets and direct approach to market retailers. India accounts for almost 50% of the international market. The gems and jewellery sector contributes nearly 55% of the world’s net exports of cut and polished diamonds in value. 85 per cent volume share and 92 per cent share of the world market in terms of number of pieces. In other words. rates of import duties. the Council provides market information to its members regarding foreign trade inquiries. Even though India does not contribute much to the world market in terms of rough diamonds -. colored gemstones. To achieve this. with a market size of $13 billion. The United States and Hong Kong were the largest importers of gems and jewellery from India. of which nearly 600 tonnes go into making jewellery.
6. The two major sub-segments within jewellery are gold and diamonds.16 7919.49 11. It is estimated that the country has around 450. Besides the ornamental value.000 diamond processing units and 8.59 1812.000 goldsmiths.html Gems and Jewellery Sector Brief From time immemorial. 100.69 ITEMS http://progressivemaharashtra.83 5977. The exports are expected to grow at a CAGR of 15% to reach a size of US $ 58 billion by 2015 from the current US $ 25 billion.com/Other/gems-and-jewellery. Employing over 90% of the global diamond industry workforce. but is rapidly transforming into an organized sector.000 gold jewelers. the balance comprising diamonds and gemstone jewellery. India also accounts for 90% of the volume of diamonds processed in the world.80 US $ 10. . Currently the Indian market remains highly fragmented. Gems & Jewellery has played a very pivotal role in weaving the social fabric of nations especially India.A SEZ / EPZ 65693.04 460.65 % Growth / decline over previous Year Rs. The Gems & Jewellery sector in India is currently pegged around US $ 44 billion of which US $ 25 billion is exports. In Crores Cut & Pol Diamonds * (Quantity in Lakh Carats) Gold JewelleryD. In US $ in Crores Million 55453.18 billion in 2007-08.35 5596.18 25623.77 1668.84 12458. The sector currently provides employment around 1. Net Exports April'09 January'10(Provisional) Rs. jewellery remains an important savings and investment instrument for most Indians.99 April '08-January'09 (Same ports as current year) Rs.28 -7. The domestic market of gems and jewellery is estimated to be in the US $ 18-20 billion range and is expected to grow by about 13% per annum to reach US $ 35-40 billion by 2015. with the former constituting 80% of the jewellery market.000 diamond jewelers.8 million Indians. India's share in the diamond sector is about 80% of the world market. 18. Today it has become a major item of .19 7958. In terms of carat.04 28512. The gems & jewellery industry is among the top growing segments of the Indian economy.T.92 6.79 0. with exports worth US$ 14. In the last few decades the Gems & Jewellery sector has evolved far beyond its traditional roles.46 19.65 US $ in Million 13789.91 384.it is the world leader in cutting and polishing of diamonds.
com) Attachments: . Contact: Mr. 13th September – 20th September 2010 FICCI Annual Conference on Gems and Jewellery. FICCI provides thoughts leadership and creates a platform for all the stakeholders at it annual Gems and Jewellery Conference. Blue Skies Business Management Group Past Events FICCI led a 100 member Delegation in association with the Commerce Ministry to Vicenza. January 2011. July 2010. It has withstood the global economic slowdown and the crisis with great resilience and élan. Managing Director. Chairman & Managing Director. 2008 FICCI-Technopak Knowledge report on ‘ Unlocking the potential of India’s Gems and Jewellery Sector Upcoming Events Conference on Gemstones and Silver Jewellery. Mumbai For For More Details. We believe that with the right policy and regulatory framework India could establish itself as a brand in the international Gems & Jewellery market. Research Associate (ankesh[at]ficci. Federation of Indian Chambers of Commerce and Industry (FICCI) has been playing a proactive role in bringing to the fore India’s potential in the Gems and Jewellery sector and has been researching the possible future strategy for developing this sector in which India has a distinct edge. The rapid growth in domestic and export markets have lead also to employment growth and overall economic growth in the country. Prasad Kapre. Italy for a Jewellery Clusters visit in 2006 FICCI-World Gold Council Jewellery delegation to Turkey.export leading to valuable foreign exchange earnings. Gems & Jewellery Committee Chairman : Mr. Mumbai FICCI‘s International Brand Conclave. January 2010 Sector Studies Study on ‘Transformation: Key to Global Success’ for the Gems and Jewellery industry. March 2008 FICCI ATA Carnet Awareness workshop 07 & 09. increase employment and create new breed of entrepreneurship. Jaipur FICCI Gems & Jewellery Delegation to China and Hong Kong. Mehul Choksi. Gitanjali Group Co-Chairman : Mr. Ankesh Jain. January 2009 FICCI’s International Conference on Gems and Jewellery.
Opportunities Led Growth .com/attachments/019_Gems&Jewellary%20Conference%20Coverag e.pdf .Taking Stock of Requirements for Fast-track Progress 4266 Kb 2074 Kb Report on FICCI's Gems & Jewellery Delegation to China and HongKong in Sept 2010 930 Kb http://msmestartupkit.com/attachments/019_FICCI-Technopak.pdf http://progressivemaharashtra.com/attachments/019_FICCI-WGCTurkey%20Report.pdf http://progressivemaharashtra.com/attachments/019_Opportunities%20Led%20Growth.File FICCI-World Gold Council Delegation to Turkey File size 580 Kb FICCI-Technopak Report: Unlocking the Potential of India’s Gems&Jewellery Sector 701 Kb Media Coverage .pdf http://www.nsdcindia.pdf http://progressivemaharashtra.pdf http://progressivemaharashtra.pdf http://progressivemaharashtra.The Retail Jeweller (Jan-Feb 2010) Media Coverage .com/attachments/019_Report%20FICCI%20GJ%20Delegation_China %20and%20HK.pdf http://progressivemaharashtra.com/sites/default/files/knowledge_base/reports/ReportonGemsandJeweller y.org/pdf/Gems-Jewellery.com/attachments/019_Opportunities%20Led%20Growth.
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue reading from where you left off, or restart the preview.