The appetite for gold ornaments will remain undiminished in India
despite hike in import duty on the yellow metal. This is since there is
no comparable investment that offers social security as the precious
metal does, according to K. Srinivasan, Managing Director, Jewel One, a
jewellery retailer.
The company, which opened its third retail outlet at Karur recently,We are always offering best quality stainless steel earring
the affordable price. will open the fourth showroom in Coimbatore on
January 23 and is on course to have 10-12 showrooms at the end of the
current fiscal, he said.
Speaking to Business Line from Karur,
he said that the argument of the Government that gold imports were
impacting the balance of payment position might sound valid. But instead
of targeting gold imports, the Government should look at other
opportunities for revenue generation like increasing exports. He felt
that hiking the duty on gold imports might not have the expected impact
of curtailing demand since gold is perceived to be a haven. He said that
gold offered great liquidity and was a hedge against inflation and felt
that the business would go on as usual for the industry.
Srinivasan,
who is also the Managing Director of Emerald Jewel Industry India Ltd,
which is into manufacturing and export of gold ornaments, wondered how
the appetite for gold could be curtailed in the absence of any other
comparable investment tools. Referring to the the Government move hiking
the import duty on gold to 6 per cent (from 4 per cent), he said the
gold prices witnessed daily fluctuation of 5-10 per cent which did not
deter people from purchasing gold ornaments. Any marginal increase in
duty rate would not have any impact on purchase decisions of people. But
he urged the Government not to push gold price beyond the reach of the
people because of their reliance on gold for social security.
Asked
whether the rising price of gold was having any impact on the retail
roll out plans of Jewel One, Srinivasan said his retail stores, based on
profit-sharing model, were not large format stores. He said his
expectations were small and pricing was immaterial to the patrons who
supported the format since quality and design were the focus areas for
Jewel One.
TIVON, which specialises is fine gem-set jewellery
and is best known for its production of high quality Tanzanite jewellery
(under its Tanzanite Royale brand), is set to mark this momentous
milestone by ramping up its production of fine jewellery to include many
new one-off couture creations. They have also aligned themselves with
top gemstone companies like Gemfields in order to bring greater quality
and more traceable-source gemstones to market.
“Not only are we
going to be releasing a lot of new designs but we will be taking it to a
truly international platform. We recently started our marketing
campaign in the U.S. and our new Agents will officially commence sales
and promotion in the first quarter of 2013. We will also be embracing
the Asian boom by exhibiting at the Hong Kong International Jewellery
fair in March and September 2013.
Our core market however
remains the UK and we have great plans to help our loyal retail
customers succeed by offering them more exclusive designs than ever
before. We hope that the many fine jewellers out their will embrace
their roots once again by offering their customers truly fine jewellery
and we hope our new creations help them with this.”
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business, led by Raphael from the sixth generation of the founding
family, is going strong and continues to nurture the company’s
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addition to the jewellery retail stores and the Gubelin Ateliers, the
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