With gold prices rising to unprecedented levels over the past few months, there has been a shift in the jewellery industry. Manufacturers are striving to adapt to the changing landscape, as part of which there is a growing clamour them for the hallmarking of 10 karat gold jewellery, to offer more affordable alternatives.

The idea of affordable jewellery is gaining traction, particularly in places such as Surat, which is a major hub for diamond jewellery manufacturing. Industry leaders here are increasingly considering lab-grown diamonds (LGDs) and 10 karat gold jewellery, which together present a solution for budget-conscious buyers.

The Surat Jewellery Manufacturers Association (SJMA) wrote to the Bureau of Indian Standards (BIS) asking for hallmarking of 10 karat gold jewellery. There are 400 jewellery manufacturing units in Surat, which is a major centre for studded jewellery.

"We made a representation as there is an opportunity in the 10-karat-gold segment. Especially for lab-grown diamond jewellery," said Amit Korat, president, SJMA.

LGDs, which are chemically identical to natural stones but more affordable, are becoming popular. Coupled with 10 karat gold jewellery, which has a lower gold content (41.7%), jewellers will be able to offer more affordable jewellery.

"In the US, LGD silver jewellery is growing popular. We see a market in other parts of the world and India. Without a hallmark, one can sell lower karat jewellery with a declaration, but hallmarking will build consumer trust," Korat added.

The shift to affordable jewellery is not only a response to rising gold prices but also broader consumer preferences. With more people seeking value for money, demand for lab-grown diamonds and 10 karat gold is expected to keep growing.

"Consumers buying 10 karat jewellery can buy bigger sizes and pieces, within the same budget. It also maintains the link with the tradition of buying gold despite high prices," said Rajnikant Chanchad of Ayaani Diamonds.

Some jewellery makers and retailers are cautious about 10 karat gold jewellery. "Gold jewellery is not just for wearing designer pieces. In India, it has sentimental and investment value. Reduced gold content will disconnect buyers from tradition, and they will ultimately stop buying," said a leading jewellery manufacturer on condition of anonymity.

Courtesy: ToI