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YOUR GATEWAY TO INDIAN JEWELLERY MARKET. Indian Jewellery Indicators Tap into a huge market – India is a US$ 27.5 billion Jewellery market India’s Jewellery.

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Presentation on theme: "YOUR GATEWAY TO INDIAN JEWELLERY MARKET. Indian Jewellery Indicators Tap into a huge market – India is a US$ 27.5 billion Jewellery market India’s Jewellery."— Presentation transcript:

1 YOUR GATEWAY TO INDIAN JEWELLERY MARKET

2 Indian Jewellery Indicators Tap into a huge market – India is a US$ 27.5 billion Jewellery market India’s Jewellery consumption is driven by the massive wedding and festival seasons India is a home to a large number of jewellers, goldsmiths and processors ~450,000 goldsmiths and 100,000 gold jewellers, ~6,000 diamond processing players and 8,000 diamond jewellers India is the number 1 consumer of gold jewellery in the world India’s tastes for jewellery are evolving to more modern and international diamond and white gold design and away from the traditional Indian gold jewellery styles India has been the world’s largest manufacturing centre of cut and polished diamond for many years, contributing 60 % of the world’s supply in terms of value, 85% in terms of volumes. India’s gems and jewellery sector is expected to grow at a compound annual growth rate (CAGR) of around 13 % during 2011-20013.

3 India – Gems and Jewellery Sector Gems and Jewellery is one of India 's leading foreign exchange earning sectors. It accounted for 16.7 per cent of India 's total Merchandise Exports. USA’s import of Gem & Jewellery from India increased by 50.5% in 2010 as compared to 2009. India Gems & Jewellery exports are expected to grow at a whopping 15 to 20 per cent in FY 2011-2012. At present India exports 85% of the world’s diamonds. Advantage India Gems and Jewellery hub Rich tradition / heritage of craftsmanship with high level of skills Low production costs Effective worldwide distribution network for promotion and marketing. Diamond polishing capital of the world. Manufacturing excellence

4 India – Gold Sector India is world’s largest gold consumer, consuming almost one fifth of total world gold demand India owns over 18,000 tonnes of above ground gold stocks, worth approx. USD 800 billion Gold import is likely to rise by 15% in to around 805 tonnes, as compared to 2010 due to growing demand for gems and jewellery Gold jewellery makes up about 30% of Indian jewellery exports, which totalled $43.14 billion in fiscal year 2010-2011 Not just traditional gold jewellery any more, the demand is increasing for modern designs and lighter gold jewellery.

5 FOREIGN DIRECT INVESTMENT POLICY 100 per cent FDI allowed in gems and jewellery through the automatic route. 74% FDI allowed for exploration and mining of diamonds and precious stones under the automatic route. 100 % FDI allowed for exploration and mining of gold and silver and minerals other than diamonds and precious stones, metallurgy and processing, under the automatic route. Investment Opportunities Gemstone Processing (Cutting and Polishing) Jewellery Manufacturing and Retailing Jewellery Certification Branded Jewellery

6 Jewellery Portfolio Growth 2008 – 2012 Exhibitors, Visitors & Square Meters Show20092010201120122013 MJGF 3155 4342 DJGF 1396 HJF5036339932714000 GJIIE7936782297288000 20092010201120122013 MJGF 209 145 DJGF 70 HJF87103106125 GJIIE98132202212 201120122013 MJGF3775 2359 DJGF 770 HJF18661883 GJIIE37264296

7 Jewellery Portfolio In India Promising Markets for the Prominent Players

8 Gem & Jewellery India International Exhibition 8-10 March 2014 (10 th Edition) Launched in 2005 with an intention to promote the Jewellery trade in South India. Co-orgnised by UBM India and MJDMA, now in 9th edition. 1 Fair in South India, accounts for 45% sales of gold in South 250+ Exhibitors – 85% rebooking onsite in 2013 12000 unique buyers attended the 2013 edition Spread across 4300net sq mtrs of Chennai Trade Centre Domestic Participants from cross all major markets Seminars and Educational Workshops by Knowledge Partner GIA, BIS, Style Statement – Fashion Show

9 Market Facts: Hyderabad is the centre for precious and semi-precious studded jewellery Andhra Pradesh has significant reserves of gold, diamond, ruby, Pearls and other gem stones. The industry is dominated by family jewellers, who constitute nearly 96 percent of the market. Key access to the wholesale gold market SHOW HIGHLIGHTS The 6 th edition promises to be bigger and brighter with 84% rebooking done onsite 125+ exhibitors expected in 2013 3293 unique buyers across South India attended in 2012 Spread over 2400 net sq meters of Hitex exhibition Centre Domestic and International Participants 80+ association tie-ups in major and interior parts of South India Educational Seminars and Workshops Networking dinner for Exhibitors and Visitors Hosted Buyers Programme Hyderabad Jewellery, Gem & Pearl Fair 7 - 9 June 2013 (6 Th Edition)

10 Delhi Jewellery & Gem Fair (DJGF) 21 – 23 September 2013 (2 nd Edition) Market Facts: Targeted at North India region, i.e Delhi, Punjab, Haryana, Rajasthan, Uttarakhan & UP. Delhi is biggest consumer of Diamonds in India. North India known for colored gemstone, colored gemstone jewellery, silver jewellery, kundan meena jewellery and diamond jewellery. Major and prominent players: PC Jeweller, Khanna Jeweller, Hazoorilal Jewellers,etc. Test event proved successful, hoping for a larger event in 2013 SHOW HIGHLIGHTS The 2 th edition promises to be bigger and brighter with 84% rebooking done onsite 120 exhibitors expected in 2013 3000 visitors expected in 2013 Domestic Participants from Pan India Seminars and Educational Workshops by knowledge Partner GIA, BIS, eBay Panel Discussions for Retailers & Manufacturers Style Statement – Fashion Show Association support from all across north region.

11 Mumbai Jewellery & Gem Fair (MJGF) 27 - 29 November 2013 (3 rd Edition) Market Facts: Mumbai is the centre of India's Gems & Jewellery industry, Its continues to be the main diamond trading center of India. Mumbai has a strong presence of players with export focus located in SEEPZ Mumbai has large numbers of modern semi-automatic factories, laser-cutting & diamond processing units. A state of the art diamond trading centre is recently inaugurated in Mumbai. Leading Gems and Jewellery players: Gitanjali Gems, Classic Diamond, Asian Star, Golkunda Diamond & Jewellery, Sheetal Diamond etc.. Gems and jewellery clusters in the Maharashtra, concentrated various regions of Mumbai. The state is a leading trader of cut and polished diamonds in the country. Financial capitol of India, leverage the key second wedding buying season SHOW HIGHLIGHTS 250+ Exhibitors International Pavilions from Hong Kong, Israel, Thailand & Sri Lanka. 4500 unique buyers expected Educational workshops and seminars presented by GIA, BIS and more. Exclusive networking evening Style Statement – Luxury Fashion Show Introducing an exclusive Machinery Pavilion Buyer Seller Programs International Buyer delegations

12 Kolkata Jewellery & Gem Fair (KJGF) 11 – 13 January 2014 (First Edition) Market Facts: Targeted at East India states i.e West Bengal, Assam, North Eastern states, Jharkhand, Orissa, Bihar and Chattisgarh. Major Players in Manufacturing : Ramesh Chand Parekh, Kriplani & Sons, Bhuramal Rajmar Surana, Shree Ganesh Jewellery House, Indian Gem & Jewellery Imperial, Indian Gem & Jewellery Creation. Most of the manufacturers in Kolkata have their retail outlets. E.g Shree Ganesh has 9 retail outlets in India. Retail sector is very robust with player like P C Chandra, B C Sen, M P Jeweller, R R Agarwal, Nemichand Bamalwa. Kolkata is a major manufacturing centre for diamond, gold and other precious and semi-precious jewellery in India. Kolkata is know for its craftsmanship and skilled Karigars. Launched show and the only B2B show for east of India SHOW HIGHLIGHTS 150+ Exhibitors 3000 unique buyers expected Educational workshops and seminars presented by GIA, BIS and more. Exclusive networking evening Style Statement – Luxury Fashion Show Introducing an exclusive Machinery Pavilion Buyer Seller Programs

13 Marketing & Visitor Promotion Update - Associations Tie-ups: Over 600 Association Tie-ups nationally. - Media Tie-ups: Trade Journal, B2B Trade Publications, Online Media, Mainline Media. - Road Shows & Seminar: Multicity Road shows for a wider reach and mileage - Shop-to-Shop Activity – Connects with 20,000 jewellers in all region. - Personal Meetings with association heads and top retailers. - Hosted Buyer Program: Host Top Retailer - Aggressive Marketing Campaign, tele-calling Emalier, Posters etc.. - SMS Activity to the huge database of 1lac Jewellers and Retailers - Creating a Royal Club for elite Retailers with personalised card and values.

14 Marketing & Visitor Promotion Update Barter & Media Connect Tied up with Trade Publications to connect with retailers & jewellers across India Few Publications to listFew Online Media list Jewellery News AsiaIDEX Indian Jeweller diamondworld.net Rapaport eBay JewelTrendz Trade India.com The New Jeweller India Mart Heera Zhaveraat Art of Jewellery Jewellery News India SMS Activity E-Mailers to the growing jewellery database Presence at all prominent domestic & Intl. exhibitions across the world

15 650 Associations 650 Associations support across Maharashtra, Madhya Pradesh, Gujarat, Punjab, Himachal Pradesh, Haryana, Jammu-Kashmir, Uttar Pradesh, Bihar, Rajasthan, Delhi, Andhra Pradesh, Tamil Nadu, Kerala, Karnataka, Few Eminent Associations Mumbai Wholesale Gold Jewellers Association – 800 members Mumbai Diamond Merchants Association – 15,000 members Delhi Jewellers Association Karol Bagh Jewellers Association Maliwara Jewellers Association New Delhi Jewellers Welfare Association Ludhiana Jewellers Association Jalandar Sarafa Association Uttar Pradesh Sarafa Association Association Tie-Ups Across India

16 Shop-to-Shop Activity Across Jewellery Markets 20,000 Shops planned

17 Road Shows - Seminars

18 International Participation Price List Mumbai Jewellery & Gem Fair 2013 27 – 2 November 2013, Bombay Convention & Exhibition Centre Jewellery SectionMachinery Section *Shell Scheme US$ 235/sqmUS$ 173/sqm (Min 9 sqm) *Raw SchemeUS$ 200/sqmUS$ 143/sqm (Min 18 sqm) *Taxes as applicable Gem & Jewellery India International Exhibition 2013 16-18 March 2013, Chennai Trade Centre Jewellery SectionMachinery Section *Shell Scheme US$ 230/sqmUS$ 175/sqm (Min 9 sqm) *Raw SchemeUS$ 200/sqmUS$ 160/sqm (Min 18 sqm) *Taxes as applicable Hyderabad Jewellery & Gem & Pearl Fair 2013 7-9 June 2013, HITEX Exhibition Centre Jewellery SectionMachinery Section *Shell Scheme US$ 230/sqmUS$ 121/sqm (Min 9 sqm) *Raw SchemeUS$ 190/sqmUS$ 111/sqm (Min 18 sqm) *Taxes as applicable Delhi Jewellery & Gem Fair 2013 21 – 23 September 2013, Pragati Maidan Jewellery SectionMachinery Section *Shell Scheme US$ 226/sqmUS$ 165/sqm (Min 9 sqm) *Raw SchemeUS$ 200/sqmUS$ 137/sqm (Min 18 sqm) *Taxes as applicable Kolkata Jewellery & Gem & Pearl Fair 2013 11 – 13 January 2014, Milan Mela, Kolkata Jewellery SectionMachinery Section *Shell Scheme US$ 200/sqmUS$ 175/sqm (Min 9 sqm) *Raw SchemeUS$ 166/sqmUS$ 150/sqm (Min 18 sqm) *Taxes as applicable

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20 Import Procedure – ATA Carnet Booth Allotment Letter Carnet Copy Detailed Invoice including product description and photographs of products Packing List No duty deposit needs to be paid Sales of merchandise is not permitted Machinery is imported as ATA Carnet in most cases as the duty structure is complicated based in the classification of machinery.

21 Import Procedure – Temporary Importation under Bond (TIB)TIB Booth allotment letter Detailed Invoice including product description and photographs of products Packing List Pay 100% duty deposit or your with the authorized agent can do this on your behalf by charging applicable Customs Bond Fee No sales are permitted Duty deposit will be refunded one the goods leave the country and after completion of due process

22 Clearance & Processing Charges Approximation based on Shipment invoice value of US$ 500,000 to US$ 600,000 Charges will be US$ 850 – US$ 950 Bond Fee of 1.5% on total applicable duty 0.01% Octroi on assessable value (Invoice value + 1% Landing Charges + Duty)

23 Custom Duty ProductApplicable Duty Gold Jewellery plain or studded17.513% Gold Jewellery plain or studded (FTA)7.11% Silver Jewellery17.513% Diamonds2.15% Gemstones2.15% Natural Pearls5% Drilled or Strung Pearls10% MachineryVaries as per classifications of machines or equipment & supplies. Check with forwarder for exact duty applicable.(DB Schenker, Re Rogers, Translink & PS Bedi)

24 Thank You Merci Grazie Gracias Obrigado Danke Japanese English French Russian GermanItalian Spanish Brazilian Portuguese Arabic Traditional Chinese Simplified Chinese Hindi Tamil Thai Korean Dank U Wel Dutch


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