Diamond jewellery brands to go global

Middle East, US, UK and other European countries prove to be the most lucrative

Indian diamond jewellery brands are ready to set up shop overseas in order to tap international markets.

In the last few years, over 28 brands were launched in local diamond industry.

Currently, the Middle East, US, UK and other European countries are the most lucrative market for the local leading brands Nakshtra, Gili,Tanishq and Ishis.

Nakshatra and Asmi are all set to be launched in the Middle East by Damas, in association with Gitanjali Group. Damas is the largest retailing jewellery brand chain in the Middle East .

"It is great to be a part of the initiative to establish India's maiden jewellery brands like Nakshatra and Asmi in the international markets," said Mehul Choksi, chairman, Gitanjali Group.

Under the retail tie-up, Damas would launch Nakshatra and Asmi in Dubai making them first Indian jewellery brands to go global.

For this, Damas has entered into a strategic tie-up for Nakshatra with Brighest Circle Jewellery Private Ltd, which is a tie up between three diamond site holders, Gitanjali Group, Dimexon Diamonds and Mahindra Brothers.

This company has been appointed by DTC to make Nakshatra a global brand, while Gitanjali Group is the sole licencee for taking Asmi international.

Ishi's has also entered the global market and aims to promote itself as an international jewellery brand.

The company is in process of opening over 20 retail outlets in Dubai. It has around 15 retail outlets in India.

"We aim to become an international brand with major focus on the international market," said Manoj Subramanian, marketing manager, Ishi's Jewellery, a division of Suashish Diamonds Ltd.

Suashish Diamonds Pvt Ltd, the $ 200 million group, has acquired the unique reputation of being able to provide end-to-end solutions for diamond production as well as retail solutions.

Similarly, Bangalore based Rajesh Exports Ltd, India's largest player in the gold jewellery with a turn over exceeding Rs 3,000 crore has recently forayed into the $ 60 billion worth of branded diamond jewellery sector. The company plans to invest over Rs 800 crore in the next three years.

Even the Ahmedabad based Rs 45 crore Forever Precious Jewellery and Diamonds Ltd (FPJDL) is planning to make a foray into the lucrative US and UK markets. The company presently exports diamond and gem studded jewellery to countries in Gulf and Middle East.

"US and UK have tremendous potential for our jewellery. We expect over 40 per cent of our turn over to come from exports. Our sales would focus on the B2B segment." said Jai Begani, managing director, Forever Precious Jewellery and Diamonds Ltd.

Of the Rs 50,000 crore Indian jewellery industry, diamond jewellery constitutes 20 per cent of the market at Rs 10,000 crore. While the share of the branded is only pegged at around 10 per cent at around Rs 1000 crore, which is expected to grow at CAGR of around 25 per cent to cross Rs 6000 crore in the next five years.

CROWNING GLORY

• Nakshatra and Asmi brands will be soon launched in the Middle east by Damas
• Ishi has also entered the global market and is in the process of opening around 20 retail outlets in Dubai