Imitation Jewelry Sourcing & Market Feasibility Report Essay Example

was approximately 146 billion US dollars by the end of the year 2006. Since 2000 this industry has been growing at an average compounded annual growth rate (CAGR) of 5. 2%.

These figures show that the fashion jewelry industry is growing at a very rapid pace and is set to become one of the most important industries in the world. This growth trend can be shown with the help of a graph below: Among all types of jewelry the designer jewelry is the largest segment of the industry with an approximate growth rate of US$ 69 billion and a CAGR (Compounded Annual Growth Rate) of 5% over the last 6 years. It is followed by the plain costume jewelry segment, which had the total retail sale of 60. 7 billion US $.

The gold jewelry segment has shown the fastest growth rate of 5. % mainly due to a steep rise in the prices of gold. Major Consumers and Market Share The sale of fashion jewelry is mainly concentrated in eight of the world’s largest markets, which together constitute three fourths of the total sales of jewelry. USA is the largest market for fashion jewelry and had a share of 31% of the total global fashion jewelry sales in the 2006. The other important markets are China, India, Japan, Middle East, Italy, United Kingdom and Turkey. India and China have shown a great rise in sales during the past five years.

Many social and economic forces are leading to a transformation in the fashion jewelry industry. Some of the factors hindering the growth of the fashion jewelry industry in the world are: Due to a shortage in the

supply of raw materials, there is a steep hike in the prices which has led to a great competition among the countries where polishing takes place. This has led to a shortage in the supply of polished semi-precious stone and thereby creating a shortage for manufacturers of finished jewelry and thus the whole supply chain is affected.

Changing fashion trends and increased consciousness of the consumers has resulted in competition among the major manufacturing nations, and also shifting of the industry to low labor cost countries. Retailing sector has also been affected due to competition from other luxury goods, declining investment in the sector (largely in the developed economies) and increasing consumer sophistication.

The future scenarios for the global fashion jewelry industry, based on the recent trends, are that the mining countries will capture a huge share of the polishing sector as well. Substitutes of precious stones such as synthetic diamonds and non-precious metals will replace the precious stones. The plain gold jewelry sales will keep on declining and China and India will emerge as large retail markets.

Based on the above trends the projections for growth of jewelry industry are as follows: The growth in sales of the industry as a whole will slow down and the world will notice the emergence of new markets. The global fashion jewelry sales will grow at the rate of 4. % annually and is estimated to reach US $ 185 billion by 2010 and US $ 230 billion in 2015. China and India together will emerge as equivalent to the US market in 2015. Jewelry fabrication services will also show sluggish demand and will move to new centers.

The CAGR of

global fashion jewelry fabrication is estimated to be 5. 1% by 2015. China and India will be the new centers for jewelry fabrication. Lowering margins in profit and debt levels in the industry will help to build up the fashion jewelry industry.

By the year 2015, the fashion jewelry industry will witness the emergence of a number of giant markets, which will be the industry leaders of the future. The future of fashion jewelry industry lies in the developing countries and primarily China and India. The African countries producing raw materials will also benefit from the expansion of these markets. Thus on the whole the future for the industry is bright but still certain steps need to be taken by the key players to increase supply of raw materials and reform the supply chain.

Import Duty: India import duties for articles of jewellery of precious and semi-precious stones (HS 7116) and for imitation jewellery (HS 7117) are 12. 5% plus other taxes and fees that may be required for such imports. Must visit or participate Trade Show for Pee Lolly Overseas India International Fashion Jewellery & Accessories Show – 09 (IIFJAS-09) Venue: Bombay Exhibition Center, Goregaon (East), Mumbai, India Dates : 22 -25 January 2009 Timings : 10. 30 Hrs – 18. 30 Hrs http://www. iifjs. com/index. html

Types of Artificial Jewelry sold in India Aluminum Fashion Jewelry Bone Fashion Jewelry Brass Fashion Jewelry EPNS Fashion Jewelry Glass Fashion Jewelry Leather Fashion Jewelry Plastic Fashion Jewelry Resin Fashion Jewelry Shellac Fashion Jewelry Shell / MOP Fashion Jewelry Stone Fashion Jewelry Terracotta Fashion Jewelry Wood Fashion Jewelry Artificial Jewelry Ranges in India Necklace A modern-day jewelry piece with exquisite

designs. Bangles Decorative ornaments with social and religious significance over the centuries. Earrings Earrings are available in varied designs & styles Toe Rings

Fascinating toe rings are the most popular fashion accessories. Pendants Pendants form an important component of fashion jewelry collection Bracelet Bracelets are available in various materials and designs. Tops Tops contribute much to the face value of woman. Brooches Brooches have become a craze to fashion-conscious women. Hair Clips Beautiful, ornamental accessories applied to the hairs Armbands Armbands have been gracing the arms of women since time immemorial Armlets Trendy armlets are re-defining fashion of the young generation. Rings The most popular and also most romantic piece of delicate jewelry

Chokers A tight-fitting necklace, worn high on the neck... Anklets Anklets have become a quite fashion craze among all age Sourcing regions: The main markets for price competitive sourcing which we have identified for Pee Lolly Overseas are: 1. China 2. South Korea 3. Japan 4. Taiwan 5. USA The main cities in the above mentioned countries where the sourcing base is situated are: China Beijing, Dongguan, Fuzhou, Guiyang, Huzhou, Jinhua, Nanjing, Ningbo, Qingdao, Quanzhou, Shantou, Shenzhen, Taizhou, Wenzhou, Xiamen, Yantai, Yiwu & Zhongshan USA Az, Ca, Fl, Ma, Mi, NJ, NY, Oh, Ri, Santa Fe Springs, TX & WI

Japan Mie, Nagoya, Osaka & Tokyo South Korea Chonbuk, Inch-on, Kyonggi & Seoul Taiwan Chang Hua, Chang Hua City, Chang Hua Hsien, Chia Yi Hsien, Taichung, Taichung Hsien, Tainan, Tainan Hsien, Taipei, Taipei Hsien, Taoyuan & Hsien The Manufacturer & Exporter contacts detail in above mentioned countries will be delivered through Courier and total price for the report is INR 5000/-