Jaipur jewellery industry glitters

The gems and jewellery industry has attained significant growth in the last few years in Jaipur. Increasing at a yearly rate of 7-8 per cent, the globally recognised and integrated market of both gems and jewellery in Jaipur crossed over Rs 1,400 crore of turnover in the year 2005.

As per estimations city is expected to have sold over two tonne of gold in the previous year.

"The year 2005 has been a very good year for the gold market in the city. Over 2 tonne of gold is reported to have been sold from the city accounting for the business of more than Rs 1,400 crore in the city," informed a city based jeweller Arjun Meghraj.

The last quarter of previous year had been specially good as the gold industry attained a growth rate of 15 per cent.

He imputed the over all expansion of the jewellery sector to the current composite tax scheme applicable in the state, which has not only benefited the traders but has also increased the revenue for the government.

"Composite scheme has proved to be a life support system to the jewellery trade in the state," he said. Under composite tax scheme an average rate of 0.1-0.2 percent is payable on gold.

He said it was only due to the composite scheme that several jewellers from other states came to Rajasthan to purchase gold.

However, there were also other facts there were equally contributing to the jewellery sector of the state.

"Besides various technical reasons it is also the professionalism in the trade, which has placed Jaipur as one of the largest gold mandi in the country. The new generation in the trade is well educated and well aware of all the managerial and corporate techniques to fight out in the international market, which was something clearly missing in the older generation," Vimal Ranka another city based jeweller said.

He opines that various new ventures like Gold Souk, 200 expected jewellery factories in Special Economic Zone and 50 jewellery plants coming up at Export Promotion Industrial Park have consolidated trade in a more organised form.

He said that the jewellery market in Sitapur alone accounts for turnover of Rs 450 crore, which includes Rs 300 crore of the exports.