Rise in Indian Wedding Spending Seen Boosting Jewelry Sales

With Indian weddings quickly becoming a multi-billion rupee industry and estimated to grow by 25 percent annually, jewelry is one of several sectors forecast to benefit strongly from the expansion.

Encouraged by high-profile society weddings, the growing middle class is spending more on marriage ceremonies with cosmetic firms, travel and tourism companies, in addition to jewelry makers and sellers, forecast to enjoy higher revenues.

The Indian jewelry sector is already growing quickly, boosted by robust economic growth as foreign investment pours into the country.

The economic developments of recent years have widened the middle class segment of the population, increasing spending power and creating strong demand in what were previously regarded as luxury spending items, such as high-ticket jewelry purchases and foreign travel.

Indian Commerce and Industry Minister Kamal Nath last week said the government planned to publish policy measures in support of the diamond and jewelry industries in the coming months.

Gems and jewelry exports in fiscal 2003-2004 were $12 billion and the country’s Gem & Jewellery Export Promotion Council (GJEPC) is aiming for exports of $16 billion by 2007.