Alloy mix to beat gold prices blues

Mumbai-based diamond jewellery maker and solitaire exporter India Capital has found a way to beat high gold and platinum prices without compromising customers’ pride of owing precious metal jewellery.

The company has developed jewellery items with a super-fine mix of silver, gold and platinum in proportion of 75, 10 and 10 per cent. The remaining 5 per cent is an alloy of copper and other metals.

The yellow metal, when mixed with silver in a ratio of 10:70, provides a mild yellowish hue, while 10 per cent of platinum in the mix gives it strength. The jewellery made from the alloy will be silver coloured.

The company is in the process of getting feedbacks from 10 of its major customers and partners on medallions made of the alloy. The jewellery thus made will come at half the price of gold jewellery.

This would also help keep customers’ pride intact of owning precious jewellery, said Sanjay Shah, chairman of the company.

The company is also planning to provide a certificate along with such jewellery and coins, containing details of the alloy to facilitate resale.

The company is considering to provide buyback guarantee. But, the final decision will depend on the feedback from customers.

“The success or failure of this attempt depends upon the feedback from our customers and industry partners,” said Shah.

Jewellery from the alloy will be manufactured at the company’s facility in Hong Kong and will be launched in India soon. The company owns retail shops in Dubai as well.

Though gold prices have declined by Rs 1,000 in the last fortnight, it is still ruling high, thus making it unaffordable for the middle class. On early Friday, standard gold was ruling in the spot market at Rs 17,200 per 10 gm.