De Beers, one of the world’s leading diamond brands, expects retail diamond prices to remain firm amid strong demand. It anticipates the domestic diamond market to rise from $8.5 billion to $18 billion by 2030.
Amit Pratihari, MD, De Beers India, said contrary to the general market perception, retail natural diamond prices are rising steadily given the robust demand boosted by wedding related sale.
The cost of a low-carat diamond itself has increased by ₹3,000-5,000 while in general, diamond prices have gone up by 5-7 per cent in past year, he said.
The domestic diamond trade has grown to $8.5 billion from $6.5 billion in the past 8 years, with the market penetration of just 10 per cent. The growth will leapfrog with India targeting to become a $10 trillion economy by 2030, he said.
105% growth
India has already emerged the fastest growing major economy with a staggering 105 per cent growth in the last decade.
According to the latest International Monetary Fund report, India’s GDP has more than doubled to $4.3 trillion against $2.1 trillion in 2015 and is on the cusp of becoming the world’s fourth-largest economy by overtaking Japan’s GDP of $4.4 trillion.
The aspiration of young Indian population will zoom and their discretionary spending will further boost diamond demand. Moreover, he said the organised jewellery market share will also increase from the current 40 per cent-level as consumers demand quality products.
In its effort to deepen market penetration, De Beers plans to launch a series of programmes linked to the rituals of India for showcasing a new gifting occasion in the lives of young consumers.
‘Love from Dad’
De Beers has introduced the ‘Love, From Dad’ collection as part of the second ear piercing ritual programme. The collection highlights the unique and irreplaceable bond between fathers and daughters as enduring as a natural diamond.
Pratihari said unlike the daughter’s first piercing, which is often a decision made by her parents, the second piercing will be a ritual where she chooses to express herself on her own terms.
In a bid boost diamond penetration, De Beers Group has partnered with the Gem and Jewellery Export Promotion Council to launch the Indian Natural Diamond Retailer Alliance (INDRA) early this year. Retailers and jewellery manufacturers can register to participate in the alliance through a dedicated online platform.
AI-driven contents
The portal has already registered 1,200 jewellery retailers and manufacturers on the platform and expects about 40,000 industry players to register online as jewellers from smaller towns take active participation.
De Beers will provide retailers with customised AI-driven promotional contents for diamond and help them to live up to customers expectations. The leading diamond brand will ensure that jewellers and manufacturers dealing only with natural diamond participate in the programme.
“We do not see lab-grown diamonds as a competition as they will cater to a different market where De Beers has no presence. Our target is to capture maximum mind space of aspiring consumers,” said Pratihari.
