God’s own glitter: Kerala takes fancy to diamonds

KOCHI: Diamonds are fast catching the fancy of Keralites if rising demand is any indication. To cash in on the trend, the jewelleries are increasingly going for value-addition to lure the younger generation to the shops.

Earlier, it was just the upper class that went for diamonds. But now diamonds are charming middle class too. While NRI influence and certain fondness for light-but-attractive ornaments among the younger lot have played a part in this changing attitude, the jewellers feel that what is tilting the attention in favour of diamonds is the buy-back guarantee.

“Customers are looking at diamonds as value for money. Most jewellers are selling certified diamonds with a promise of buy-back,’’ points out Babu Alappatt, leading jeweller and Kochi unit president of All Kerala Gold and Silver Merchants Association.

Ready statistics are not available on the diamond trade in the state. According to Mr Alappat, the
diamond sales should be over 3% of the total gold jewellery trade in Kerala pegged at Rs 5,000 crore a year. The growth has happened in the last two years. The jewellers are mostly sourcing diamonds from Mumbai.

“The NRIs started the trend of diamond purchase, particularly the younger generation. The locals have now picked it up,’’ Sudhakar, manager of Kirtilal Kalidas & Co says. He feels the growth will pick up in the coming years.

Besides buy-back guarantees, jewellers are also enticing customers with new offerings. Sunny Diamonds recently opened a section dedicated to solitaire diamond jewellery here. Besides free insurance against theft, the company extends the facility of loan against diamonds through UTI Bank.
The purchase by an average Keralite is in the range of Rs 10,000 to Rs 50,000.