Domestic consumption of diamonds double in last 3 months - time for gold jewellers to make the most of India's growing growing craving for diamonds

The Economic Times reports that India’s domestic diamond consumption has doubled from 2% of the total production to 4 % of the value in the course of the last 3 months.

The article attributes this growth spurt to the crash in diamond prices owing to the global economic recession. As a result of the crash, a lot of manufacturers resorted to desperation selling, leading to an almost 15% drop in prices. But that has been followed by an increase in prices owing to a severe shortage of goods. This shortage was caused by the lack of production (owing to unstable pricing) and high rough prices. The growth in consumption, therefore, has happened in spite of this price increase and that makes the increase in demand an even bigger story – for everyone involved in the diamond business in India.

The robust growth is something that every jeweller in India needs to take notice of. The ones who are already doing well in solitaires can pat themselves on the back; for being well positioned to harness the growth, while the ones who are not dealing in diamonds might as well get started before the boom passes them by.

I say solitaires and not just diamond jewellery because the report also mentions that there has been a significant increase in demand for expensive diamonds which are more than 1 carat in size. Diamonds are no longer just an embellishment for the gold jewellery. More and more customers are looking to buy solitaires and big ones too.

So what does it take for a gold jeweller to become a diamond jeweller too?

It takes an inventory of loose diamonds, solitaire designs, a display of pieces, a few artisans who are trained in solitaire setting and a sales force with good knowledge of diamonds.

A gold jeweller can get all of these under one roof at TradersDiamonds without having to spend too much.

With a crest of strong consumer demand to ride and a readymade solitaire solution on offer, has there ever been a better time to be in the business of selling diamond solitaires. Sphere: Related Content