Policies & IssuesJul 01, 2022
U.S. Expands Sanctions to Russian GoldThe U.K, Canada, and Japan have also banned the import of gold originating from Russia.
Lab-GrownMar 16, 2022
India: An Emerging Source for Lab-Grown Diamonds, Jewelry
CVD diamond growers and jewelry manufacturers will help India consolidate its competitive advantages in diamonds and jewelry manufacturing.
Nine seeds in a CVD reactor may not grow uniformly. Product consistency is therfore of utmost importance in the growing of Lab Grown Diamonds. Image courtesy of ALTR
Mumbai—The demand for lab-grown diamonds and diamond jewelry continues to grow, with companies in India — long a cutting and polishing center for natural stones — poised to become key players in the market.
Estimates on what percentage of the diamond market lab-grown stones currently comprise vary. In a recent interview with National Jeweler, industry analyst Paul Zimnisky put global lab-grown diamond jewelry sales at $5.9 billion last year, making up 7-8 percent of the market.
He estimates global lab-grown diamond jewelry sales could top $8 billion in 2022, approaching 10 percent of the total diamond jewelry market, and near the $10 billion mark by 2023.
Diamonds below smaller than 2 carats are estimated to grow the fastest, with growth in the CVD segment outpacing HPHT.
The colored lab-grown diamond market, meanwhile, is predicted to grow at a CAGR of 10.2 percent.
According to the Gem & Jewellery Export Promotion Council, India exported $1.05 billion worth of polished lab-grown diamonds from April 2021 to January 2022, registering growth of nearly 113 percent.
India exports mainly CVD diamonds and diamond studded diamond-set jewelry using both HPHT and CVD diamonds. Most of the HPHT rough used for jewelry manufacturing is imported from China.
Growers are investing in, and mastering, the new CVD technology to ramp up the production.
Surat, the world leader in diamond cutting and polishing, has in recent times, witnessed a growing number of CVD diamond manufacturers in recent years.
Abhishek Saraiya, vice president of diamond company Meraya, diamonds estimates there are 2,500 active reactors in India, predominantly in Surat, and a few in Jaipur and Mumbai.
“The average monthly output of a typical reactor is 125 carats and costs $175,000. The most commonly used reactor is Japan’s Seki,” he said.
One of the leading manufacturers in Jaipur with an installed base of 80 reactors is Real Illusion LLP.
Director Anup Zaveri said the company has the capacity to grow certified diamonds from 0.5 to 5 carats.
Lumex DMCC has a diamond cutting, polishing and jewelry manufacturing unit in Surat.
Founder Vishal Mehta said, “We use both HPHT and CVD diamonds for jewelry manufacturing. Being technology agnostic, we started with the former as it was the easiest available material.
“The CVD business is becoming more transparent and with supplies improving, we now use both. Surat has 15 to 20 significant CVD growers with an installed base of 50 to 500 reactors.”
Anmol Bhansali, director of Goldiam International, shared his experience in the lab-grown diamond space.
“We started growing diamonds at SEEPZ, Mumbai in 2015 and realized that the growing process of diamonds is quite different from the labor-oriented jewelry manufacturing. The high-tech business requires high-caliber talent, patience and commitment. During the first two years getting the product of desired quality, size and color was a challenge. In 2017 we would be lucky to grow round stones of 1 carat.”
Bhansali continued: “With sustained efforts and persistent experimentation, we were able to get the formula right. We can now produce polished diamonds of 2 carats easily. It is not uncommon to get a smooth production run for two months, followed by an output of cracked and broken stones.
“Consistency is directly linked to profitability in this high fixed-cost business. We hope to increase our current production to 650 polished carats by April 2022.
We grow, cut, polish diamonds, design and manufacture jewelry in-house that is distributed through our U.S. office. Vertical integration adds 20 percent to our bottom line.”
During the last few years of rapid growth, a short-term trading approach is prevalent in the industry, said Amish Shah, president of Altr.
“I believe that owning the entire supply chain requires a long-term vision rather than just finance and talent. In the absence of vertically integrated players, the mid-stream segment in the lab-growth business will be under pressure as it did in the earth-mined category.
“The fragmented supply chain of growers, distributors and retailers operating independently is inefficient. We have positioned Altr as an integrated lab-grown diamond and fine jewelry brand. Retailers are our partners, and we support them with branding and point-of-sale display material.”
Mehta said Lumex’s skill sets are in cutting, polishing, manufacturing and wholesaling lab-grown diamond jewelry to select retailers in the U.S. as well as India. Indian retailer Orra is one of them.
Lumex.online portal’s SEARCH algorithm allows partners to search for the perfect diamond that meet their specific requirements.
“We focus on our strengths and aspire to be the best in our domain. Our partners can access our digital library Lumex.Online and access, with a single click, 3,000 options of white and colored lab-grown diamonds. A natural vivid blue or pink diamond could be priced at $1 million per carat while its lab-grown diamond counterpart is available at a fraction of its cost,” he said.
While Goldiam, Altr and Lumex are integrating their upstream and midstream operations, companies like Renaissance Global and Orra have adopted a D2C direct-to-consumer approach.
SEEPZ Mumbai-headquartered Renaissance has taken a digital-only route to launch its exclusive lab-grown diamond jewelry portal for the millennial consumer.
With three exclusive LGD stores in Mumbai, Pune and Bangalore up and running, Divaa enjoys a prime mover advantage in the Indian market.
Orra’s sub-brand, Divaa, is among the first companies in the world to launch a network of exclusive lab-grown diamond jewelry boutiques. Its online portal gives Divaa an omnichannel presence.
Experts expect that the current growth phase will be followed by price stabilization leading to consolidation, mergers and acquisitions in the industry.
Note: This story was completed for publication in the special India Diamond Report newsletter prior to Russia’s invasion of Ukraine and the U.S.’s subsequent ban on Russian diamonds on March 11.
Experts expect that the current growth phase will be followed by price stabilization leading to consolidation, mergers and acquisitions in the industry.
Note: This story was completed for publication in the special India Diamond Report newsletter prior to Russia’s invasion of Ukraine and the U.S.’s subsequent ban on Russian diamonds on March 11.
More on Lab-Grown
The Latest
Recorded WebinarsJul 01, 2022
Watch: What to Know About Livestream ShoppingJewelry marketing expert Laryssa Wirstiuk shares her tips and tricks for hosting a livestream shopping session.
SourcingJul 01, 2022
De Beers, Botswana Extend Sales Agreement for Third TimeThe current agreement, originally set to expire in 2020, will now go through June 2023.
Brought to you by
Preparing for Proposal Season with High-Quality, A.I.-Graded Natural Diamonds Rare & Forever is helping to create an enjoyable diamond buying experience for the millions of newly-engaged couples.
CollectionsJul 01, 2022
Piece of the Week: Brent Neale x Edie Parker PendantThe brands have collaborated on a fine jewelry ode to cannabis.
Weekly QuizJun 30, 2022
This Week’s QuizTest your knowledge of the latest jewelry news with this quick test.
Supplier BulletinJun 30, 2022
Here’s Where You’ll Find The Best Online Jewelry AuctionsSponsored by HiBid
CrimeJun 30, 2022
What JSA’s Annual Report Tells Us About Jewelry Crime in 2021Plus, JSA President John Kennedy talks about the trajectory of industry crime over the last 20 years.
Brought to you by
Discover The Extraordinary Italian Jewelry In Las Vegas!Experience all the Italian Jewelry market has to offer in Las Vegas.
CrimeJun 30, 2022
Smash-and-Grab Robbers Hit Booth at TEFAF: Watch the VideoThe fair was evacuated temporarily Tuesday after four suspects smashed a showcase and stole jewelry from British jeweler Symbolic & Chase.
Events & AwardsJun 30, 2022
Nominations Are Open for Gem Awards 2023The 21st annual awards show and gala will take place in New York City next March.
Events & AwardsJun 30, 2022
Registration Open for JIS Fall in Miami The jewelry trade show is scheduled for Sept. 30-Oct. 3 at the Miami Beach Convention Center.
AuctionsJun 29, 2022
Bonhams Expands Again with Purchase of Paris Auction House It is the fifth acquisition under the ownership of private equity firm Epiris, which bought Bonhams in 2018.
MajorsJun 29, 2022
Zales Has a New Diamond CutThe “Celebration Infinite” diamond has more than three times the number of facets in a traditional brilliant-cut diamond, the retailer said.
WatchesJun 29, 2022
Bulova Introduces New Frank Sinatra WatchesThe brand again partnered with the Frank Sinatra School of the Arts High School to celebrate the launch of the “Summer Wind” watches.
SurveysJun 29, 2022
U.S. Platinum Jewelry Demand Starts 2022 on a Strong NoteRetail ounce sales were up 23 percent year-over-year in Q1, according to the recent Platinum Jewellery Business Review.
Events & AwardsJun 29, 2022
Registration Is Now Open for the HardRock Summit 2022Scheduled for Sept. 8-11, the event will comprise more than 310,000 square feet of show floor, exhibits, and education space.
ColumnistsJun 28, 2022
The PR Adviser: Why Should Someone Buy From You?If you’re having trouble answering this question, columnist Lilian Raji can help you get a started with a few fill-in-the-blank statements.
IndependentsJun 28, 2022
This Jeweler Is Celebrating 40 Years With 40 Days of GiveawaysContinental Diamond in Minneapolis is awarding a total of $25,000 in prizes via daily sweepstakes.
CollectionsJun 28, 2022
Melissa Kaye’s New Collection Doubles the Color“Lenox” marks the designer’s foray into bespoke jewels and large colored gemstones.
Events & AwardsJun 28, 2022
Second AGS Virtual Education Conference Is All About Negotiation Skills“Confluence” is happening in August.
MajorsJun 27, 2022
George Holmes, Longtime Head Editor of JCK Magazine, Dies at 93 He first took a job at then Philadelphia-based Jewelers’ Circular-Keystone in 1963 and retired in 1996.
MajorsJun 27, 2022
Mayors, Analog:Shift Team Up With GoopThe lifestyle platform will stock fine jewelry and watches from the retailers on its website and in store.
CrimeJun 27, 2022
JSA Warns of ‘Pandemic’ of Distraction Thefts Nationwide It cited two recent cases in California, plus incidents in Florida, Kansas, and Illinois.
IndependentsJun 27, 2022
Lewis Jewelers Set to Open New Ann Arbor Store This SummerThe 10,000-square-foot location allows for expanded collections from design partners while continuing custom design and other services.
CollectionsJun 27, 2022
This Designer Has Found a New Way to Bring Gemstones to LifeSvetlana Lazar’s “Wishing Well” collection utilizes an innovative component to mimic the movement of water beneath them.
Recorded WebinarsJun 24, 2022
Vegas Jewelry Recap: The Editors Weigh InWatch the webinar in which National Jeweler’s editors talk about jewelry market week trends and their predictions for the rest of 2022.
