IIJS 2006 Wrap Up: Quality Visitors

Exhibitors at IIJS 2006 say that despite the smaller attendance at the show this year, they had good quality visitors. The IIJS venue has been upgraded,   designs were geared to the local Indian market, and next year the show moves back to July.

Throughout the first few days of IIJS 2006, exhibitors were hoping that the following day would bring bigger crowds. Despite the low visitor turnout, as the weekend came and went, the mood of most of the exhibitors improved. Many reported that they were actually happy with the turn out, "less talk, more work," was one quick summation.

One of the reasons for the low attendance is probably the dates on which the show was held. After the show closed down early due to flooding in 2005, this year's show was held in early May, to avoid the heavy seasonal rains. However, May is summer vacation time in India, and many were away with their families.

Another outcome of last year's flooding was an improved venue: generator backups, halls 5 and 6 had a new ceiling, air conditioning and roof insulation, though the new ceiling in hall 1 has yet to be completed. Organizers expect to finish work on the structure later this year, and IIJS 2007 will be held in July, though the final dates have yet to be set.

Sightholders, diamond dealers, jewelry manufactures, and toolmakers had their eyes set on the local market. Those that have local and international initiatives displayed only their local efforts, some taking advantage of the opportunity to roll out new brands, or announced new initiatives, for example Gitanjaly, or new diamond cuts (K.P. Sanghvi's Cupio for example).

The mood is positive for the local market, and the general consensus is that the growing middle class will be supportive for years to come. Indians are growing richer, more money is available to spend, and according to one insider, the next 10 years will be good ones – on the retail side.

The polished diamond market, however, is faring less well. While some are putting up a positive spin, big, small, and medium size companies all fear a possible collapse in the market. Long-term debt, poor payment by many oversees clients, and large stockpiles of rough and polished diamonds have all the makings of a dark cloud on the horizon. One Sightholder said that he hopes the major banks financing the industry won't lose their nerve. "If they hit the panic button we are all going to suffer."

Finally, the designs at the show covered a wide spectrum of items. From the very traditional gold bracelets sold purely by weight as an investment, to modern diamond jewelry backed by brands. Yellow gold is back by popular demand after rising demand for white gold is slowly waning.

The Indian industry is trying every marketing approach. From simply selling polished diamonds to jewelers, to branded jewelry supported by De Beers' DTC (Diamond Trading Company), to fully branded stores. They are all meeting with success in this strong market.