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ALROSA mined a unique 34.17-carat yellow diamond

ALROSA’s affiliate Almazy Anabara has extracted a large 34.17-carat yellow diamond. It is the largest fancy-colored rough diamond extracted by the Company this year.

Yesterday

ALROSA increased physical sales in H1 2107

This was announced yesterday by the company's president Sergey Ivanov at a meeting with Deputy Prime Minister Yury Trutnev in Yakutsk, according to a statement released by the press service at the Head of the Republic of Sakha (Yakutia)...

Yesterday

Diamond aggregation to fill the gap in SA, says De Beers

De Beers Consolidated Mines (DBCM) said diamond aggregation will help its clients in South Africa access stones despite the closure of the Voorspoed mine and the company’s failure to secure exploration licences.

Yesterday

SML Q3 revenue down 14pc y-o-y to $8.8m, says Lucapa

Sociedade Mineira Do Lulo (SML), a joint venture company between Lucapa Diamond, Endiama and Rosas & Petalas, raked in $8.8 million from two sales of Lulo alluvial diamonds in Angola during the September quarter.

Yesterday

Dubai's Nemesis International to cut 813ct. Constellation diamond

Nemesis International, UAE’s first diamond polishing facility that was opened recently during the Dubai Diamond Conference (DDC) 2017, has been tasked with cutting and polishing the world’s most valuable rough diamond.

Yesterday

Jewellery might not come under the category of basic necessity, but for women it is a need

31 july 2017

kiran_and_anil_pethani_xx.jpgEnchanted by the City of Gold-Dubai, brothers Kiran Pethani and Anil Pethani travelled from their little village in Gujarat, India to Dubai in search of a better livelihood.

In 1993, they started working for a jeweller in Gold Souk where they learnt enough about the trade of diamonds, gemstones, jewellery, manufacturing and in year 2004, braved it out to start on their own and the rest, as they say, is history.

Today, Cara Jewellers is a Dubai based fine jewellery brand, known globally for their phenomenal diamond and coloured gemstone jewellery. With their 24 years of experience in the jewellery industry and their team of 300 sales staff, craftsmen and designers, for Kiran and Anil the sky is the limit.

In an interview with Rough & Polished, both Kiran and Anil give us a peep into their mindsets; and their thoughts about the global jewellery industry; their business; and their dreams...

Some excerpts...

Where does Cara Jewellers (CJ) stand in the already crowded Dubai jewellery market? How many stores does CJ have right now? As you cater to other consumer markets, what's the overall scenario given the economic downturn in Europe and other countries?

Cara is a one-stop-shop for all those looking for high-quality diamond jewellery in Dubai. Our clients know we do not compromise on diamond quality and jewellery finish and thus, we have a loyal clientele of over 24 years. Although Cara is only 12 years old, I and my brother Kiran have loyal clients since our Gold Souk working days prior to the establishment of Cara.

With our multiple showrooms at the Gold & Diamond Park and a latest one at Zabeel Saray in Palm Islands, Cara is highly accessible to the residents as well as to tourists. Our multi-floored individual Cara showroom is scheduled to launch on the Sheikh Zayed Road by mid-2018.

Jewellery might not come under the category of basic necessity, but for women, it is a need. Whenever anyone wishes to propose to the woman of his life, Cara is a popular name in the minds of many. Yes, there has been an economic downturn in Europe and many other countries but the need to wear jewellery and to propose with a bigger brighter diamond has also increased at the same time. So we fair well in this equation.

Over the years, what transformations have you seen in jewellery demand - in terms of diamond, gold content, design, etc. - in the International markets? What's the present scene in terms of demand for jewellery per se?

Dubai was known for its gold jewellery for many decades but now the scenario is changing. Today, tourists come to Dubai to buy all kinds of jewellery- gold, diamond or even with coloured gemstones. It has become more about the excellent finish and quality rather than just the rate of gold. The consumer now is far more educated about diamonds and knows exactly what they need.

Diamond jewellery is very much in demand and bigger the sizes the more the demand there is. Dubai is all about one-of-a-kind from real estate to shopping. So unique pieces sell faster. That said; engagement rings and tennis bracelets are also our fastest moving pieces.

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What changes have you seen in the Middle East markets with regards to the demand pattern since you began your business in Dubai? Has diamond jewellery demand increased in recent years? Your comments on the future of the markets, and its growth.

The design has become a very important aspect in the final selection. The customers are also aware of international fashion trends, what’s in and what’s not. They know what looks good on them and thus, have a clear idea of what they are looking for.

Customization is the future. With such a knowledgeable customer, most of the times, we design as per the customer’s requirement. The satisfaction is much higher and to avoid disappointments at the end, we make them a part of the whole manufacturing journey adding to their delight.

With regards to diamond especially, what is the demand trend in quality/size of diamonds in jewellery in today’s Dubai market in particular and the other consuming markets on the whole?

We deal in VS and above clarities combined with FG colours or better as per the requirements. There is a huge change is the acceptance of bigger sizes and experimentations with newer shapes. 5 carats and plus engagement rings are a big seller. Asscher cuts, cushions shapes and princess are the new rounds.

Was your venture into the jewellery business due to your interest in the sector or was it a family business you took over? Please give us an overview of Cara Jewellers, its growth graph over the years and the story of how it all began...

exclus_17072017_a.jpgThe attraction of Dubai and a better livelihood inspired me and my brother Kiran to travel to Dubai all the way from our little village in Gujarat, India. In 1993, we started working in Gold Souk, where we learnt about the trade of diamonds, gemstones, jewellery and its manufacturing. We also got to hone our skills of high-value jewellery sales.

In 10 years, we had gathered a warm reputation amongst our clients and braved it out to start on our own in 2004 with a limited inventory. And in May 2005 we opened our first showroom in the Gold and Diamond Park, Dubai under the name of Cara Jewellers. Today, Cara Jewellers is a Dubai-based fine jewellery brand, known globally for the phenomenal diamond and coloured gemstone jewellery.

During our 24 years of experience in the jewellery industry, we have not just made a name but have also gathered endless friends and customer stories where we have made jewellery to match one’s desires or manufactured within the tightest of deadlines or even helped people plan their proposals to their loved one… needless to say with ever popular Cara engagement rings.

Today we have a state-of-the-art manufacturing facility and our team of 300 sales staff, craftsmen and designers, is well equipped with a huge array of designs, diamonds and gemstone inventory to provide jewellery solutions. Maintaining high quality of diamonds, jewellery finish, personalised customer service and post sales service is like breathing to us.

Currently, Cara has multiple showrooms in UAE. Expansion is surely on the charts and our next project an individual Cara showroom on Sheikh Zayed Road scheduled to open by mid-2018. The popularity of our product quality has led to another recent venture i.e. manufacturing jewellery for other retailers from around the world.

Do coloured diamonds feature in your jewellery as well; and how is the demand for such hi-end jewellery? How is the demand for colour diamonds jewellery right now, given that price comes with a premium? What's your opinion of diamonds (white/coloured) in general as investment vehicle per se?

We do sell coloured diamond but have only limited ourselves to pink and canary yellows. We even use champagne and black in a few designs. There is a good demand for yellow diamonds in engagement rings but, yes, the high price does need a little extra push from the sales team.

Both white and coloured diamond are good as an investment if one buys it from a genuine source, accompanied with a certificate and is a prominent size.

Are you a manufacturer of jewellery or source jewellery from others and operate as a wholesaler/retailer of diamond jewellery? Are you into high-end jewellery only or also into entry-level everyday jewellery? If a manufacturer, from where do you source your raw materials? Please elaborate.

exclus_17072017_b.jpgCara manufactures all of its jewellery in-house. We have a dedicated team of designers, CAD team and craftsmen accompanied with the best jewellery making machinery. We also work as a manufacturer for various retailers/ designers and craft their jewellery as per their design form language.

The USP of Cara is that we sell all kinds of jewellery under one roof. From a simple chain, we can wow you with pieces that are worth millions of dollars. We cater to all kinds of clients and thus, believe in keeping something for everyone.

Also, jewellery shopping happens on trust. If my client likes her first small shopping from us then only she will invest a bigger sum of money in my product next time.

We source all our raw materials from ethical and reliable sources ensuring the best of quality. This way we are also sure of the material we are selling.

What's the current scene in the diamond financing scenario in UAE? With Dubai growing into a major hub, lending banks may be vying to serve the gem and jewellery industry in the region. Your say on this?

There is a lot of growth potential of diamond financing in Dubai as it is an ideal trading centre as well as an important centre for the diamond industry.

National Bank of Fujairah (NBF) has jumped in to fill the space left vacant by the withdrawal of a few European banks like Antwerp Diamond Bank, which closed its business in Dubai as part of the winding down of its global operations. The closure did prompt some fears about the financial stability of the global diamond industry, but three leading UAE banks are backing Dubai’s ambition to become a global diamond trading centre- Emirates NBD, Mashreq and NBF. They have pledged to support the Emirate’s growing diamond business at a conference in Dubai recently, with a multibillion-dirham commitment to facilitate the purchase and sale of diamonds.

As local banks, these banks support the initiative of the Dubai government and the DMCC in long-term perspective and are committed to the business. Two global banks, ABN Amor and Standard Chartered, are also supportive as UAE to become a trading hub between the producers of Africa and Russia, and the manufacturers of finished diamond products in India.

Banks have introduced precious metal & diamond industry-specific financing products. The emirate is now at the third place in the global diamond business, with $35bn worth of trade per year, behind Antwerp and India, both on more than $50bn.

With Dubai’s strategic location on global trade routes, its open business climate and modern infrastructure, the city has quickly taken its rightful place as one of the leading diamond centres in the world.

Wrapping up, how will jewellery business in Dubai be affected in the near future due to The Goods & Services Tax (GST) that is currently being formulated by the Government of India?

GST on gold and gold jewellery introduced at 3 per cent in India, is more or less in line with the existing. Further on rough diamond has been fixed at 0.25%. All this will only lead to gold buying through more official channels now, which would be good in the long term.

Dubai has also imposed a 5% import duty on gold and diamond jewellery since January 2017, however, it does not affect in the case of re-export. Approximately half of gold jewellery consumed in Dubai is from India and this import duty will certainly hurt some big exporters of India who supply to Dubai.

Aruna Gaitonde, Editor-in-Chief of Asian Bureau, Rough & Polished

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