For Indian women, the word jewellery has always been synonymous with gold. But time seems to be changing fast with more and more people preferring diamonds, not just on special occasions but even for everyday wear.
In fact the Indian diamond industry has grown from a Rs 22 crore (Rs 220 million) industry in 1996 to a Rs 30,000 crore (Rs 300 billion) industry in 2000 and sources say in the next 5-10 years, India will be a dominant player in the market for diamonds and jewellery.
"Not long ago, people had this notion that diamonds were very expensive and niche, but with big brands focussing on the 'everyday wear' segment, the pricing is certainly down and more diamonds are today in the affordable range," says Sonal Ramrakhiani, brand manager, Tanishq.
"In fact, what was a decade ago perceived to be exorbitant and unaffordable can now be the ultimate gift that one could give oneself, without paying a fortune for it. The aim is to provide the customers best value in terms of designs and prices," says Ramrakhiani.
Thus while Tanishq has launched Solo in solitaires sets of pendants, ear studs and finger rings, Nakshatra has come out with classic, yet contemporary and trendy diamond jewellery.
With their low-priced range, the diamond brands are trying to fill the "need gap" of young modern women, who are always on the lookout for fashion accessories that are both attractively priced as well as trendy, the Tanishq official said.
"There is a limit to which design differentiation can be done in gold and today's consumer wants new designs, which is easily done with diamonds. Today's women know more about international trends and thus the growing craze for diamonds," says Sameer, a jeweller in West Delhi.
And this craze for diamonds is more among north India women compared to their counterparts in the south, notes Ramrathiani.
Also, rather than buying single pieces, the trend is more towards combination sets, different for different occasions.
Also, it does not mean that gold is out, because diamonds are most preferred with gold, says Sameer.
The industry is growing rapidly but the Tanishq official says there are many issues, which need to be taken care of.
"People still shy before buying diamonds thinking they do not have a resale value. But most of the brands today guarantee resale."
Certification is another grey area for the Indian industry, says Sameer. The domestic diamond trade functions on word of mouth. But a layman could sometimes be cheated in the process. More than 90 per cent of the business is in the unorganised sector, in the hands of private jeweller and there are no said guidelines on authenticity.
So, the end consumer could never be sure if his investment is justified as per the quality of the stone bought.
Also, anyone can price any diamond for whatever he desires. "Thus transparency and pricing become two main issues, which need to be dealt with most urgently by the industry," says Sameer.
PTI
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