Embosser, Sheet

Overview of Gems and Jewellery Sector in IndiaWith a market size of almost INR 4,54,100 crore, the sector has a sizeable share of the GDP at ~5.9 percent, apart from large-scale employment generation and foreign exchange earnings. The highly labour-intensive nature of the sector with large number of employees in the unorganised space, has led to job creation, employing more than 0.464 million people in the country in 2013. Gold has always been regarded as precious as well as important by citizens of this country, be it in the form of bars, coins or jewellery. It is used as a medium of saving, gifting, form of transfer of wealth, as well as a highly liquid financial instrument. Initially, India was a large producer of gold; its reserves have been depleted by its ever increasing demand and now remain negligible. In recent years, India has accounted for almost one-fourth of the annual global demand for gold and is one of the world?s largest importers of gold. Further, raw materials, such as silver, platinum, gemstones and diamonds, among others are also imported from different parts of the world.Growth Estimates and Latest Trends of Gems and Jewellery Sector in IndiaIn the five years from 2008 to 2013, the market share of organised players has increased from 10 to 22 percent, more than doubling in a five year period. This increasing share will require sales associates and merchandisers with a higher capability in core requisite skills for their roles.Indian gems and jewellery sector has grown at a CAGR of 22 percent, albeit at current prices, in the last five year period from FY08 to FY13. This has largely been driven by the gold jewellery segment in terms of share (81 percent of the market in FY13) but on a growth rate basis, diamond jewellery has been the faster growing segment at ~24 percent CAGR vis-a-vis gold jewellery at ~16 percent CAGR, in line with the market trends of increasing consumer preference for diamonds and diamond studded jewellery. In the coming years (2013?17), the sector is expected to grow at a slower pace due to increased import duty and enforcement of the 80:20 export rules. Further, competition from other Asian countries, such as China and Thailand in jewellery fabrication will add to the stress on growth. All these factors will result in more job opportunities for candidates applying in this sector across India.