Surging gold price adding sheen to lab-grown diamonds

- Lab-grown diamonds gaining immense traction

- Millennials willing to pay 44% premium on sustainable products

- Young women prefer lab-grown diamonds for engagement rings

- Like mined counterparts, lab-grown diamonds also offer investment opportunities

Mumbai: With the significant price hike in gold as well as naturally mined diamonds, consumers have begun to look at the greener, pocket-friendly option of lab-grown diamonds this season. Lab-grown diamonds have gained massive popularity in recent years with lot of awareness among the consumers. The unique and independent personality of lab-grown diamonds as a sustainable and environmentally friendly yet affordable gemstone is extremely well accepted by the millennial consumers. This trend is increasingly reflecting in the sales of lab-grown diamond studded jewellery across India.

In India, exports of polished lab-grown diamonds may double in the current financial year started April 1 from $1.3 billion in the preceding fiscal year. India has a huge potential to grow exports to $7 billion-$8 billion in the next few years on the back of US demand and acceptability in the UK and Australia.

Talking to Bizz Buzz, Pooja Sheth Madhavan, Managing Director & Founder of Limelight Diamonds, says: “Consumer tastes and preferences in jewellery are changing rapidly in India. Ethical and sustainable sourcing is beginning to play an important role in every consumer’s purchase decision. A recent report on millennials in India stated that climate change and the environment has become the No 1 priority or concern for them. Statistics also state that these millennials are willing to pay a 44 per cent premium on sustainable products/materials including jewellery.”

This in my view, she goes on, simply reflects on the growing preference of consumers towards sustainable jewellery. Lab grown diamonds are gaining immense attraction due to its environmental benefits, particularly for engagement rings whereas women of today are preferring lab grown diamond ring as their promise ring of the future

“We, in a short span, have managed to increase our presence with over 65 partnerships pan India making CVD diamond studded jewellery available in all major cities like Mumbai, Delhi, Bangalore, Chennai, Hyderabad, Surat and Ahmedabad,” she said.

Moreover, today’s consumers remain extremely brand conscious and support brands not just for the product, be it for jewellery or anything else, but also the philosophies and values that the brand carries and are willing to pay a premium for brands that endorse an ethical or sustainable product. Like in everything else, they are looking for ethical, sustainable, and affordable alternatives in precious jewellery too, she added.

Additionally, due to the affordability of lab grown diamonds, aspiring consumers are now being able to upgrade themselves to not only purchase diamonds, but also consider buying solitaires!

India, in my view, she said, not only carries the potential of establishing itself as the production hub for lab-grown diamonds, but also of emerging as the largest consumer base too. Diamond jewellery in the Indian market is typically purchased during the wedding season and considered as an investment.

Like its mined counterparts, lab-grown diamonds also offer the same investment opportunities with resale choices of buyback and exchange at the retail level. Our brand Limelight offers each of its consumers 100 per cent exchange and 80 per cent buyback, which instills immense confidence in the consumers about lab-grown diamonds, she said.

Moreover, young consumers think differently that they are more educated on these diamonds and believes in the concept less is more and opt for minimal jewellery and look for value for money. Considering all these aspects, lab-grown diamond is their most desired option, she explained.