CHAPTER 1:

INTRODUCTION
The word, “Jewellery” is derived from the word “jewel,” which was anglicized from the Old
French word “joule” in the 13th Century. Further tracing leads back to the Latin word “jocale”
meaning plaything. Jewellery is a form of personal adornment, made from any material usually
precious gem stones, beads, or shells. In India, gold jewellery is a storehouse of value, a symbol
of wealth and a fundamental part of many rituals. 85 per cent of the jewellery being sold in India
is gold jewellery. Gold remains the Indian bride’s stree-dhan, the only wealth she takes with her
when she goes to her new home.
Gems and Jewellery have an essential place in the Indian society and economy, gems and ever
since civilization emerged on the Indian soil. Jewellery, is accounted for about 50 per cent of the
total luxury products sold in the country. India is renowned for handmade jewellery and was one
of the first countries to start making fine jewellery from minerals and metals.
The preciousness of this shiny metal has made it a favorite investment tool of millions of
Indians. That it can also be used for adornment is the further icing of the cake. Indian jewellery
presents the ancient art of jewellery designing and amazing craftsmanship that is unique.
Pure gold is designated as 24 karats. Because of the softness of pure gold, it is usually alloyed
with base metals for use in jewellery, altering its hardness, ductility, melting, color, and other
properties. In India the most desired is 22 karats, which has a gold content of 91.6 per cent. Gold
jewellery is also made by number of methods using equipment’s and modern machines in jewel
factories.
The gems and jewellery sector has been one of the fastest-growing sectors in India in the past
few years. The jewellery and gem industry in India operates at all levels starting from mining to
sourcing, processing, designing, cutting, and polishing. This includes gold, gemstones, and
precious metals. In gold, India is the second largest consumer. Over 20% of the global gold
consumption is done by India. India is leading the market as hub of the world, in diamond
cutting and polishing and the third largest market for polished diamonds after USA and Japan
respectively.
Indian jewelry market commands the percentage of market share in the value sales and
percentage of global market based on number of pieces of diamonds sold. Irrespective of the
mining location, out of every 15 diamonds (approximately) sold all over the world have been
processed and designed in India. This sector has been playing a key role in the economy of India.
The jewelry and gems sector in India has alone contributed around 6-7% of the Indian GDP
every financial year. The employment opportunities in this sector are getting bigger and bigger
every year, and many are getting benefited out of it. On the other hand, the earnings from foreign
exchange are also in the boom because of this sector. Overall, the jewelry and gem industry in
India is playing a cohesive role.
The sector has gained global popularity because of its talented craftsmen, its superior practices in
cutting and polishing fine diamonds and precious stones, and its cost-efficiencies.
India is among the fastest gold-jewellery demand growth centers in the world along with Hong
Kong, China, Egypt, Thailand, Turkey, Indonesia, and the Middle East. As is well known, India
is the also the largest consumer of gold in the world. Today India and China, together, account
for about 60 per cent of the global gold jewellery demand and 50 per cent for bars and coins.
India is estimated to hold over 18,000 tons of gold privately, accounting for nearly 12-13 per
cent of the world’s cumulative “above ground” gold stocks. Almost all of the gold demand is met
with by imports. Refining industry is small. In fact, most of all other key inputs for
manufacturing jewellery such as silver, platinum group metals, colored gemstones, diamonds,
enamel paint and other raw materials are all imported.
 Company Profile:
Pramukh Jewellers:
About company:
The Dazzling Journey Of "Pramukh Jewellers" has begun by Navinbhai Soni in Baroda before
1990's by His Supreme Divine Holiness Pramukhswami Maharaj. and then in Anand, the milk
city of India by HSDH Pramukh Swami Maharaj in 1999 and then with his blessing and divine
support of God their the next Generation has renovated and expanded their showroom in to 3
Story Buildings in 2014.
Now they feel proud to have a more comfortable and spacious premise where a vast range of
jewellery with latest design suitable for a different occasion is displayed. The customer friendly
and relaxed environment and expert designer are our real asset.
Today they enjoy a reputation for excellence in ethical as well as contemporary design. The
name Pramukh Jewellers means – unswerving dedication for quality and personal attention. They
are first to get BIS-916 Hallmark License ever since its inception in April 2000 in their region.
Their jewellery matches international standards purity and latest trends in fashion. That is why,
they can boast of thousands of immensely satisfied customers from the entire Charutar region
and worldwide.
Services:
At Pramukh Jewellers, they are committed to provide best possible services to their clients. Their
team of sincere and expert craftsmen and trained sales staff has won the confidence of their
clients.
Apart from providing readymade jewellery, they offer the facility of custom-made jewellery
collection, which is prepared by their skilled artisans as per customer specification. And of
course, when it comes to purity they never compromise! For purity testing, they have installed a
laser XRF machine manufactured by German company Fischer to assure their ornaments of
quality and purity.

FISCHER MEASUREMENT TECHNOLOGIES PVT. LTD.

Fischer is a distinguished name engaged in the fabrication of world class coating thickness
Measuring Instruments & Material Analysis. They are one of the most reputed manufacturers,
exporters and importers of high-quality coating thickness measuring instruments, spectrometers,
gold testing machines, material analysis instruments and material testing equipment’s.
CUSTOM MADE JEWELLERY
When the occasion demands something exceptional, go and talk to them. Their master jewellers
will be delighted to bring your dream piece of jewellery to life.
JEWELLERY REPAIR SERVICES AT THE DESIGN & BEST IN CLASS REPAIR CENTER
Uncover your jewellery’s original beauty. Their team of jewellery repair experts are here to help.
When you lead a busy lifestyle, it can be hard to give your jewellery the TLC it needs. Even
when you are extra careful, over time, all fine jewellery needs some form of services to keep it
maintained and looking like new. That is where their jewellery repair services can come in
handy. Their team of experts is there to help you with many types of jewellery repairs. It doesn’t
matter if your original purchase was made at Pramukh Jewelers, or somewhere else entirely.
Everyone can take advantage of their repair services, no matter where your jewellery was
purchased.
Their Design and Repair Centers are fully staffed with expertly trained professionals who can
handle most types of repairs-from resizing your ring and fixing your gold chain, to resetting your
diamonds and other precious gemstones. When you come at Pramukh Jewelers, they’ll be able to
help you with:
 Resizing your jewellery to make sure it has the perfect fit.
 Repairing your jewellery with the highest quality, in a timely manner.
 Chain, bracelet, and clasp repair.
 Adjusting jewellery to ensure that all diamonds and gemstones are secure.
 Cleaning, polishing, and refinishing jewellery crafted of precious metals.
 Personalizing your new or existing jewellery with their state-of-the-art Computerized
Engravers.
 Creating a Custom Design piece of jewellery that is unique to you.

Tanishq
About the company
Tanishq is a brand of jewellery retail stores in India. The brand is the property of Titan
Company, which is back by Tata Group and TIDCO.
The journey of Tanishq started with the launch of 18k gold watches studded with precious stones
in 1994. But it soon grew into a 22K jeweller who presented a stunning range of gold and
diamond jewellery. The term Tanishq was coined by Mr. Xerxes Desai by marrying the words
‘Tan’ meaning body and ‘Nishk’ meaning a gold ornament and Tanishq’s4 very first state-of-art
jewellery factory with a proper karigaar park was set up in Hosur in Tamil Nadu.

History
By the end of the 1980s, the Titan company launched Tanishq. In the early 1990s, India's
exchange issue was fixed, and the Titan Company chose to focus the brand on the Indian market.
The first production plant launched in August 1992, and Tanishq's first store opened in 1996.
Tanishq was the first jewellery retail brand in India.
The first years of Tanishq recorded consistent losses. In 2000, Managing Director Xerxes Desai
chose Bhaskar Bhat to succeed him. Starting in 2000, its net worth started to grow, and by 2003,
Tanishq was among the top 5 retailers in India, and made up 40% of the Titan Company's
revenue.
In the early 2000s, Tanishq opened stores internationally, in the Middle East and in the United
States (Chicago and New Jersey), but closed them before the end of the decade.
Tanishq made the beauty pageant crowns for the Femina Miss India 2007.
By 2008, Tanishq had 105 stores in 71 cities in India. In 2011, the Tanishq group launched the
sub-brand called Mia for working women.
In November 2012, Tanishq reached a landmark when it opened its 150th showroom in India.
In April 2014, the brand started to export to the United Arab Emirates.
In July 2014, Tanishq announced it ceased its gold deposit schemes to comply with the
Companies Act 2013, schemes that enabled its clients to save up to buy gold, but launched it
back just a few months later in a format that complied with the new laws.
By June 2014, Tanishq had 167 retail stores nationwide, and announced the opening of 30 more
by the end of 2015.
In 2017, Tanishq launched a sub-brand called Rivaah targeting the wedding segment.
In January 2017, the Titan group merged its Gold Plus stores with the larger Tanishq retail
brand.
In April 2017, Tanishq launched the sub-brand Mirayah to cater to women under their 40s.
In December 2017, Tanishq launched the Aveer line, its first line of products for men.
VISION:
 To be a world-class, innovative, progressive organization and to build
 India’s most desirable jewelry.
 The Training and Education provider and coordinator for
 Recognized and respected as an organization for excellence and trusted
 leadership of the Jewellery Industry.
 Financial Independent.
 Retail Skills
 Ethics and Industry conduct for the Jewellery Industry
MISSION:
 Total customer orientation
 Employee appreciation
 Performance culture and teamwork
 Creativity and Innovation
 Passion for excellence
 Corporate Citizenship
 SWOT ANALYSIS OF THE SECTOR
STRENGTH

 Gold jewellery is the most preferred form of jewellery in demand in India as it is

considered auspicious to purchase gold on major occasions like festivals, marriage, birth
etc.

 Gold occupies the second position among all investment instruments and is considered as
the safest investment option. India has retained its top position in global gold
consumption for the second consecutive year, fueled by record high jewellery
consumption at 703 tons in the 4th Quarter of 2015.

 India is one of the largest diamond processors in the world and its artisans have
specialized skills in processing small diamonds (below one carat); in fact, the Indian
craftsmen have achieved excellence in cutting and polishing small diamonds. However,
the real uniqueness of the Indian craftsmen lies in the fact that they do most of the cutting
and polishing manually which sets India apart from its other peers. India (especially,
Surat and Mumbai) ranks among the ‘big four’ diamond cutting centers of the world —
the other three being, Belgium (Antwerp), the US (New York) and Israel (Ramat Gan).
Currently, diamonds processed in India account for 85% in volume, 92% in pieces and
60% in value of the total world diamond market.

 The sector is well-supported by government policies and the banking sector.

 The Indian gems and jewellery sector is one of the foremost examples of export-led
growth. Gems & Jewellery exports have been accounting for over 15% of total exports
from India consistently since FY91.

WEAKNESS

 The sector is highly-fragmented and unorganized, and is characterized by family-owned

operations.

 Around 96% of the gems and jewellery players have family-owned businesses, but, over
the last few years, more organized players have been entering the sector.

 As the sector is highly labor-intensive, its dependency on craftsmanship is very high. For
instance, the cutting and polishing of diamonds and colored gems, which are soft stones,
requires immense care on the part of the labourer. Although some activities in the cutting
and polishing of gems are mechanized, the sector still requires skilled craftsmen to
 achieve precision in diamond cutting.

 Gemstones (both rough and finished) and precious metals such as gold, silver, and
platinum are the raw materials used in the sector. The prices of these raw materials
directly affect the profitability of companies. In recent years, the prices of low-quality
rough diamonds and higher
quality stones, such as solitaires, have gone up, but as the polished diamond prices have
not been increasing at the same rate, the margins of exporters have been under pressure.

 However, being export-dependent makes the sector susceptible to foreign currency

volatility.

 The Indian gems and jewellery sector is pre-dominantly dependent on the US markets,
which is its top export destination. The growth of gems and jewellery sector is heavily
dependent on the growth of demand in the US market.

 India is the largest importer of rough diamonds and a leading player in cutting and
polishing of the same, therefore, it runs the risk of dealing with conflict diamonds.
Conflict diamonds are those that are mined illegally in African countries such as Angola,
Liberia, Sierra Leone and the Democratic Republic of Congo to fund illegal military
wars. Despite the KP (Kimberley Process) certification, there are issues related to fake
KP certificate. These fake certificates put diamond importing countries at a risk of
dealing in conflict diamonds.

OPPORTUNITY

 The US has been the major market for Indian gems and jewellery sector over the years.
However, with the current global slowdown, the dependence on the US market has
affected the Indian gems and jewellery sector tremendously. The sector is exploring new
locations to diversify business and to minimize the risk. Russia, Middle East, and China
are few of the emerging destinations that are witnessing an increase in jewellery demand.
The Indian gems and jewellery
players can tap these countries to diversify and increase their business.

 India is one of the leading diamond processing centres of the world. India’s vast, low cost
and extremely skilled workforce provides it with a competitive edge over other countries.
However, it is predominantly involved in cutting and polishing of small-sized diamonds,
which weigh less than one carat. India's cut and polished diamond exports have a high
global share in terms of number of pieces; however, in terms of value the share is much
lower. By moving up the value chain and processing larger stones India can further
increase its value share in total exports. Large diamonds are less commonly found in
nature; therefore, the price of a diamond rises exponentially with its size. Indian exporters
who have dominance in processing of small stones have already started moving into
cutting of large and medium size stones. For moving up the value chain, the industry
should try forward and backward integration. Hence strategic alliances with producers of
 roughs and retailers of jewellery could lead to higher market share.

 There exists a huge opportunity for Indian players to do value addition to the processed
diamonds and to export diamond studded jewellery. India is already a leader in
processing small-sized diamonds and it also has inherent capabilities of manufacturing
hand-crafted jewellery. Further, with its dominance in processing small diamonds, India
has an advantage of manufacturing affordable diamond jewellery for the world market.

 The Indian retail sector is growing rapidly. This provides an excellent opportunity for the
Indian players to manufacture and sell their jewellery through the retail channels that are
fast catching up in the Indian markets. Further, this move will also provide an organized
structure to the largely unorganized gems and jewellery sector and lead to further growth
of the sector.

 India can become an outsourcing hub for designing and manufacturing jewellery. There
is an increased trend of outsourcing designing and manufacturing of jewellery from India
by
global retail players such as Wal-Mart and JC Penny. The players in the sector can tap
this opportunity to diversify business, reduce risk and increase revenues.

THREAT

 A major threat to the industry is posed by China and its keen inclination to enter in a big
way in the sector via both automated and non-automated industrialization. They have
captive market for gems and natural link with the US markets which also happened to be
India’s biggest market.

Major Currency volatility and high requirement of capital makes this sector vulnerable to
global financial issues.

[Tagwerker, E. (2009). Siho and Naga--Lao Textiles: Reflecting a People's Tradition and
Change. Peter Lang.]
 Literature Review
Abstract 1
Advertisements become the part of everyone’s life as it controls and guides the
lives of the people. Realizing the importance of advertisement in affecting the
consumer buying behavior, the companies are allocating big budgets for the same.
Out of all components, advertisement appeal is considered as very important factor
in shaping the purchasing behavior of the customer and making the customers
loyal. Brand and customer loyalty also plays an indispensable role in consumer
buying behavior and in generation of company’s sales. This study mainly focused
on the impact of advertisement appeals on the brand and the customer loyalty for
jewellery. Gold, Diamond, Platinum, and stone studded jewellery was considered
for the study. We have used the purposive sampling technique as the data is
collected from those who like to wear jewellery. Sample size was 200 and
respondents were the people from DOABA region called as NRI hub of Punjab
comprising of four districts namely Jalandhar, Hoshiarpur, Kapurthala and Shaheed
Bhagat Singh Nagar. To see the impact of advertisement appeals on the brand and
customer loyalty for jewellery, the technique of multiple regression analysis was
used. The result has shown that advertisement appeal is having a significant
impact on the brand loyalty as well as the customer loyalty for jewellery for the
area under study. The appeals like pleasant, emotional, sex, humor and bandwagon
effect were taken for the study. The study might help the marketers in devising the
advertising strategies and use of different appeals in ads in case of jewellery
promotions.
International Journal of Transformations in Business Management http://www.ijtbm.com
(IJTBM) 2017, Vol. No.7, Issue No. II, Apr-Jun e-ISSN: 2231-6868, p-ISSN: 2454-468X
20
INTERNATIONAL JOURNAL OF TRANSFORMATIONS IN BUSINESS MANAGEMENT
*-------

Abstract 2
Indian jewellery is unique in its design and workmanship. India and
jewellery, jewellery, and Indian women – terms are linked inherently. The art
of making beautiful ornaments, with delicacy and acumen, has been
developed throughout historical times. Jewellery is made for
almost all the parts of the body and it is and it is also designed to match with
the attire. To make jewellery more attractive, it is topped by diamonds and
various types of gems. Indian jewellery inspires passion unlike any other
object of desire. Every woman in India loves to wear at least a small piece of
gold jewellery either in the form of glittering neckwear ornament, or dangling
earrings or exquisitely crafted bangles. Even men wear simple gold
ornaments like rings,
bracelets and chains. Thus, we can say that everyone has been moved by the
beauty of gold jewellery and it has become a part of our culture and tradition.
Rich history and cultural heritage of gems and jewellery together with an
enduring attraction towards gold have contributed to the growth of jewellery
industry. India has well – established capabilities in making hand - made and
machine - made jewellery in traditional as well as
modern designs. The Indian jewellery retail sector continues to be dominated
by the unorganized
jewellers. There are over 2.5 million jewellery shops in India and the most of
them are family-
run. However, with the Indian consumers becoming more fashion and quality
conscious,
retailing in the Indian jewellery sector is emerging stronger with various big
companies like
Tata, Thangamayil, Kalayan, Malabar gold and so on opening multiple stores
across the country.
The average customer now wants designs that are unique and contemporary.
She buys jewellery
Ref:-
International Journal of Marketing and Technology
Vol. 8 Issue 2, February 2018,
ISSN: 2249-1058 Impact Factor: 6.559

JEWELLERY INDUSTRY IN INDIA

Abstract 3
The prime objective of the study is to shed light on various issues and scope of gems and
jewellery export
in India. Indian gems and jewellery industry has attained a remarkable position worldwide.
Artifacts of India’s
export of gem and jewellery are acknowledged all over the world for their exquisite
craftsmanship. However in the
present scenario industry is confronting various hindrances which obstruct the path to realize
its true potential. It
has become statutory to deal with the problems and constraints which are being faced taking
in the account of the
fact that during FY 2013-14 the sector has contributed $34746.90 million to Indian exchange
earnings, which states
the decline in export by 10.58 percent. Due to the dependence on imports, the complexities
involved in obtaining
import license by the government should be simplified and also the lengthy procedures and
intricacy involved in
trading need to be rationalized. In order to sustain its position in international market there is
an immediate
requirement to modernize the product designs and procedures involved. In addition to this
the working condition
of the workforce should refined to a great extent and their ill-wage structure must be revived.
Some of the other
major concerns being faced are lack of training facilities, existence of Casteism, lack of
permanent work, financial
issues, procedural hardship and financial issues. In the view of the declining growth rate the
government has
instigated various measures and also a significant amount of investment in gems and
jewellery sector is accounted,
as a result of which the gems and jewellery industry has recovered to a certain extent. There
was an increment of
12.65% percent in export of cut and polished diamonds in FY 2014. As per an industry study
the sector is
anticipated to draw Rs 15,000 crore (US $ 2.42 billion) by the end of 2015 which would be a
striking increase by
December 2012 with Rs 8000 crore (US $ 1.29 billion).

Ref:-
ISSN 2349-7807
International Journal of Recent Research in Commerce Economics and Management (IJRRCEM)

Prospects of Gems and Jewellery Export in

India

Abstract 4
India is one of the largest exporters of Gems and Jewellery. The industry
plays a vital role in the Indian economy
for its role as a major contributor to the total foreign exchange reserves of the
country.The overall net exports of
Gems and Jewellery registered an annual growth of 9.1% to reach $ 35.6 bn
during 2016-17. Exports of cut and
polished diamonds, gold jewellery and silver jewellery registered a growth of
10.2%, 1.9% and 35.9%, respectively
during 2016-17. Exports of gold coins and medallions from India stood at $
1.9 bn, while exports of silver jewellery
stood at $ 3.3 bn during April 2017-February 2018.India is also a major
importer of gems and jewellery. The imports
of gems and jewellery increased at a CAGR of 7.8% from $ 11.63 bn in
2004-05 to $ 28.8 bn in 2016-17. The
imports during April 2017-February 2018 stood at $ 28.3 bn.US, Hong Kong
and UAE are the major exporters, who
accounted for 75% of the total gems and jewellery exports from India during
2016-17. Other big importers of Indian
jewellery include Russia, Singapore, Latin America and China.
The market size of Gems and Jewellery in India contributes to about 7% of
the country’s GDP. Gems and Jewellery
industry contributes to about 16% to India’s total merchandise exports and
has grown at a CAGR of over 14.8%
over the last 50 years. The Gems and Jewellery industry in India is one of the
largest in the world, contributing 29%
to the global jewellery consumption.The overall market size is expected to
reach $ 110 bn by 2022 from
approximately $ 60 bn in 2017. The industry that currently employs over 4.5
mn people, is expected to provide
employment opportunities to over 8.2 mn people by 2022.
This study is on the culture research, sensitivity and method forward for
jewelry and gem exchange of India, because
this sector plays an enormous role among the Indian economy one in every of
the fastest growing sectors contributing
around 6-7 per cent of the country’s gross domestic product. This study is
conducted with the help of case studies
and reports published to throw light on the market scenario of India and the
expected growth in jewellery and gem
industry. China and India are leading the market in terms of process jewellery
and gems, supported its potential for
growth and price addition; the govt of India has declared the gems and
jewellery sector as a spotlight house for export promotion
Ref:-
2019 JETIR October 2019, Volume 6, Issue 10 www.jetir.org (ISSN-2349-5162)
JETIR1907T09 Journal of Emerging Technologies and Innovative Research (JETIR)
www.jetir.org 269
Gems and Jewellery Industries Culture and
Sensitivity a case study of Karnataka

Abstract 5
India has established itself as the world’s largest manufacturing sector for cut and
polished
diamonds, contributing nearly 60% of the world’s supply in terms of value and
80% in terms of
volume. Gems & Jewellery has had an important place in the Indian society and
economy ever since
civilization dawned on the Indian soil. Gems and precious metal have a great
ornamental, astrological
and religious significance. The information for the research enquiry has been
collected from
secondary sources. The Indian Gems and Jewellery industry is at a very significant
point of its
development. he study makes use of statistical techniques such as percentage
analysis, Trend analysis,
Growth analysis, Standard Deviation and CAGR analyzing the data for finding the
result. The
increase in purchasing power of people has resulted in remarkable growth in the
consumption of
Gems and Jewellery worldwide. Moreover, the significant appreciation in the
prices of Gems and
Jewellery in the recent years makes them a very rewarding option of investment
and wealth
accumulation. India has been increasingly accorded the status of a world trading
hub for Gems and
Jewellery.

Ref:-
ISSN:2350-0883 -PRINT -IMPACT FACTOR:0.450
VOLUME 2, ISSUE 2, FEBRUARY 2014
A STUDY ON COUNTRY WISE EXPORTS OF GEMS AND
JEWELLERY FROM INDIA