Gemfields to focus on Indian market in the coming years

Gemfields Plc is robust on its plans for India. The company’s plans include implementing an educational campaign to create awareness about natural gemstones in India; make Jaipur as a global sourcing hub; train the retailers and create educational platform for consumers as well.

While addressing the media a round table media meet Dev Shetty, Chief Operating Officer - Gemfields Plc said “India has been a key market for Gemfields and will continue to be one of our main focus regions in the coming year. The research was commissioned to better understand the gemstones category in India along and gain further awareness of the size of the market, consumer trends in jewellery buying and the category purchase factors. The report provides comprehensive insights and analysis that will help Gemfields build a branding and communication strategy for coloured gemstones in the Indian market.”

He added “At present in India, we enjoy 20 per cent of the market share of coloured gemstones. We are looking at increasing it to 30 per cent in 3-5 years.” In India, there is a need to train retailers about coloured gemstones, about grading and resale value so that they will be able to do a better business, he said.

Of the total jewellery industry in the country, whose size stands at US $40 billion, the coloured gems stones constitute about 1 per cent, he said. "So in order to increase this market share we are planning to build a brand to sell the gemstones. We also want to make the consumers aware about the benefits of certification and establish transparency that will lead to consumer confidence," he added.

While discussing company’s expansion plans in India, Dev Shetty talked about the company’s interest in mining of gemstones in India but refused to divulge details about the proposed location of mine. He said “Currently, talks are on with the concerned state governments. Since the talks have been initiated three years ago, Gemfields has acquired mines in Mozambique and Ethiopia. However, there has been no progress on the project in India.”

“If government decides to opt for the auction route for precious gemstones like it does for the other minerals. We may have to give up on plans of mining in India,” he added further.

The company had conducted a research project in collaboration with Drshti Strategic Research Services Pvt. Ltd, in order to understand attitudes towards colour gemstones in India.