The glitter of the gold market is slowly fading away. The most sough after jewellery and is being replaced by diamonds and other precious gems. With the gold price shooting by nearly 40% in the last one year, almost every second person is willing to experiment with other shimmering options. According to experts who monitor trends in the jewellery sector, the preferences of the average Mumbaikar is certainly changing.
“Consumers are realising the worth of diamonds,” said Mehul Choksi, chairperson, Ficci Gems and Jewellery committee. “Their mindset is also gradually changing after being exposed to various designs.”
While the diamond and other precious stones sector increased by 30% last year, the gold market saw a growth of just 5%. “Diamonds are too becoming a more popular investment option,” said C Vinod Hayagriv, chairman, All India Gems and Jewellery Trade Federation and managing director of C Krishniah Shetty and Sons.
With cost being an important factor, a sum of Rs1lakh will fetch more diamonds than gold as diamonds prices have remained stagnant. “However, the sale of diamonds has picked up recently,” he added.
However, many are of the opinion that because of the traditional Indian market, gold will continue to be the most popular jewellery for investment. “Diamond sales have picked up as the income levels have gone up. Moreover, diamonds have a higher status, both socially and economically,” said Sandeep Kulhalli, vice president (retail and marketing), Tanishq.
The jewellers have seen a steep slide in business, but the changing trends are bringing a smile on their faces. “Those who are buying jewellery prefer diamonds or gold jewellery which weighs less,” said Keshav Rao, a Sion-based jeweller. “As long as it translates into business for us, we are not complaining.”
