Indian Shoppers Buying More Diamonds and Platinum

Indian consumers are buying more jewelry set with diamonds and made of other precious metals, such as platinum, according to a survey by the Associated Chambers of Commerce and Industry of India (ASSOCHAM).

The survey, carried out before the Diwali festival that started on November 3, found that volatile gold jewelry prices was behind the change in buying preferences.

The report, entitled Diamonds and platinum shines as gold loses sheen in urban cities, surveyed 350 jewelry makers and reveals that jewelry shops in major cities are using a variety of strategies to sell jewelry as a result of volatile market conditions.

Jewelry made white gold or platinum and set with diamonds is seeing rising sales, said one jeweler.

Around three-quarters of jewelers are focusing on platinum-based diamond jewelry over traditional gold and silver jewelry, and the share of platinum and diamond jewelry in overall jewelry sales has increased significantly over the past year and could account for 30-35 percent of overall jewelry sales in the 2015, the survey found.

Meanwhile, diamond jewelry sales have grown by more than 25 percent on the year so far in 2013, according to most of the diamond jewelry retailers.