Regulatory structure for gold jewellery industry proposed

Chennai: The central government is considering establishing a regulatory structure for the gold jewellery industry. A committee has been constituted for recommending measures to develop India as a gold manufacturing and trading hub.

Inaugurating the Festival of Gold 2005, India's largest exhibition-cum-sale of jewellery organised by MMTC Limited in Delhi, union minister of commerce and industry Kamal Nath said, "The export of gold jewellery from India may touch $5 billion this fiscal from $3.8 billion during 2004-05. Gold jewellery has been identified as an extreme focus product and utmost efforts have been made to increase exports of gold jewellery (both plain and studded). India is forward integrating into manufacturing of studded jewellery."

"Approximately three million artisans and goldsmiths are currently employed in the gold jewellery sector," the minister said, adding the sector accounts for around 18 per cent of India's total gems and jewellery exports.

He said that the government had evolved a medium-term strategy for increasing exports. These are (a) hallmarking and certification of goods towards development of an Indian brand in the jewellery market; (b) integration throughout the jewellery supply chain from mining of raw material to retailing of end product as well as joint venture manufacturing with the leading global suppliers and; (c) developing market intelligence focussing on the key markets including non resident Indians (NRI).

According to him, establishing a Gold Trading Centre in India will generate revenue for the government, increase the employment potential of the country and stabilise commercial trade in gold.

Genuine certified products in gold, silver platinum, coloured and white gold are showcased at the festival for jewellery lovers and the public at large. The collection at the seven-day exhibition features a kaleidoscope of ethnic and new designs, fabricated by versatile craftsmen from distinct regions across the country.