Indian jewelry manufacturers receives a big boost at the International Jewelry Tokyo show in February from the Developing Countries Trade Agency (DeCTA), a division of the British government.
DeCTA, which began working with Indian jewelry manufacturers six years ago when it determined that Indian jewelry had high potential as an export product, provided eight Indian companies with booth space at IJT. Grant Walker, a private jewelry consultant agency in England, created a special Indian Pavilion for the exhibitors made of shiny metal and white cloth to resemble a large tent.
Mark Walker, a director of Grant Walker, said the Indian manufacturers were brought to IJT to introduce their product to the Japanese market. He is now deciding whether to take the Indian Pavilion to one of the Hong Kong fairs in September.
Sanjay Bhandari of Alma Diamonds Japan, a representative of Suraj Diamonds (India), displayed both gold and platinum jewelry set mostly with tapered diamonds which are popular in Japan.
“People still don’t know that this kind of jewelry in manufactured in India,” Mr. Bhandari said. “Many customers ask if it is made in Hong Kong.”
Suraj Diamonds was the first jewelry manufacturer in the Santacruz Electronics Export Processing Zone (SEEPZ) – Bombay’s free trade zone – to manufacture platinum jewelry. Now that Suraj Diamonds has mastered both gold and platinum jewelry, Mr. Bhandari said the company’s next goal is to produce combinations of gold and platinum in one piece.
Shishir Nevatia, chairman of Sunjewels India, also located in SEEPZ, said he received a good reaction at IJT foe his ring collection with prices ranging from US$50-$200. “For many years the problem has been India itself. I would say I’m from India and would say, ‘forget it.’ With SEEPZ our reputation is changing.”
Mr. Nevatia started exporting jewelry in 1987 from the Domestic Tariff Area, a zone in Bombay which allows local sales as well as exports, but is restricted by duties on the import of machinery and other government regulations. With his new factory in SEEPZ, Mr. Nevatia must export 100 percent of his production but he enjoys the benefits of duty-free trade zone.
Two years ago, he almost gave up the business due to poor sales and what he felt was a losing battle to convince importers of the high quality jewelry available from India. But with the support of DeCTA and India German Export Promotion, a German aid agency, Me Nevatia brought in foreign designers and technicians to assist him. His exports rose by almost 30 times.
Now Mr. Nevatia is making an effort to move into jewelry set with colored gemstones because he predicts that within the next two years competition among diamond jewelry exporters in India will be stiff. “The understanding of semiprecious stones is not good among jewelry manufacturers [in India],” he said. “They don’t understand the stones or the market.”
At IJT, Me Nevatia offered a range of rings set with tsavorite, cut in India. Twenty percent of his jewelry line is set with colored gemstones, mostly rubies and sapphires cut in Bangkok and emeralds cut in Jaipur.
“I’m still trying to establish a strong rapport with Thai gem dealers,” he said.
Mr. Nevatia has high hopes for India’s jewelry industry overtaking Thailand’s. “I’m positive of India overtaking Thailand in Jewelry exports because diamond people are in India, the government is encouraging exports and we have a huge population,” he said. However, he added that he has a problem getting calibrated diamonds in India. “If I want a specific size, I may have to buy a mixed bag, but this is changing.”
Ashok Goyal of Dwarka International in Jaipur, which imports rough, cuts it and manufacturers jewelry for export, said the IJT show proved disappointing.
“Maybe my jewelry is too heavy, too big for the Japanese,” Mr. Goyal said. “The Japanese prefer precious and small, lighter designs.” His bulky jewelry line of precious and semiprecious gemstones set in 18k gold is mostly exported to Europe, especially to the Spanish market. He also produces a silver jewelry line which he exports to Europe and the US.