March 7, 2002
'16'
GEM & JEWELLERY EXPORTS RECORD 24% GROWTH IN JANUARY 2002INDIA TARGETS 60% SHARE IN WORLD DIAMOND TRADE BY 2005
India’s export in the Gem & Jewellery sector has registered a significant growth of 24.23% in US $ terms (27.30%in rupee terms) in January 2002 as compared to the same month last year. India plans to achieve a market share of 60% in 2005 and 65% in 2010 in the world trade in diamonds. Shri Rajiv Pratap Rudy, Minister of State for Commerce & Industry, stated this, on the occasion of an exclusive presentation on ‘The Strength & Potential of the Indian Gem & Jewellery Industry’ before foreign Ambassadors and Diplomats, here yesterday evening. The function was organised by Gem & Jewellery Export Promotion Council (GJEPC), which was followed by a Jewellery Fashion Show. Shri Sanjay Kothari, Chairman, GJEPC, spoke about the Council’s activities, initiatives and overall performance on this occasion.
Shri Rudy emphasised that gem & jewellery sector has been one of the foremost foreign exchange earners for India and accounted for about 17.6% of our total exports of US $ 44.1 billion during the last year 2000-01. He informed that out of 10 diamonds cut and polished in the world, 9 are from India. The Minister added that India’s market share of diamonds is 55% by value, 80% by caratage and 95% by pieces which shows that there is a potential to further go up in the value chain to achieve higher market realisation. The huge value addition of US $ 71 billion takes place in setting stones and diamonds, manufacturing jewellery trading, retailing and branding. "In this area we should be in a position to strategically improve our realisation, given the expertise and the traditional skills of our craftsperson developed over centuries", he said.
The Minister informed that India plans to consolidate its position on small diamond segment by syndicating buying of rough diamonds and having investments/stakes in mine-heads through joint ventures or tie-ups. Shri Rudy highlighted the steps taken to improve efficiency through increasing the number of trained and skilled manpower, improved labour-efficiency, spread to other centres of the country and establishing better management systems.
Markets in USA, Japan, Europe, Middle East and other emerging markets would be the focus areas to take advantage of India’s strong domestic jewellery manufacturing base in plain and studded jewellery. Facilities for hallmarking and certification of metals and studs used in jewellery are being increased, Shri Rudy added. The Minister elaborated on India’s exporter-friendly policy regime in the gem & jewellery sector, which assures the buyer of the product of the highest quality. He stressed that infrastructure facilities are being provided for this sector that suited the needs of exporters.