This article first appeared in the Thailand Special 2023.

Global gemstone and jewellery conglomerate KGK Group is expanding its presence in Thailand, which plays a pivotal role in its operations and growth ambitions.

Slated to open in 2023, the group’s second jewellery manufacturing facility in the country will produce jewellery embellished with coloured gemstones and diamonds.

The new production centre, located near KGK’s existing jewellery-making facility in Bangkok’s Prawet district, will concentrate on exceptional designs for the midrange to upper segments of the market. Sanjay Kothari, vice chairman of KGK Group, said, “Our current monthly production capability for gemstone and jewellery is 10,000 units. With the new factory in Thailand, our overall production capacity will increase threefold, allowing us to better meet the global market's growing demand for high-quality jewellery featuring coloured gemstones and diamonds.”

The group’s sales are expected to reflect the increase in production capacity, Kothari noted. KGK also has a gemstone manufacturing centre in Thailand, giving its jewellery production facilities easy access to raw materials.

Production strengths

Kothari cited Thailand’s strategic location, world-renowned craftsmanship, experienced workforce, conducive business environment and favourable government policies as the reasons for expanding the group’s jewellery production facilities in the country.

“KGK is proud to be a part of the thriving jewellery and gemstone manufacturing industry in Thailand. As we move forward into 2023, we are confident that the industry will continue to grow and flourish,” he said.

To address the post-pandemic shortage of skilled manpower in the jewellery sector, KGK will train workers on international jewellery-making techniques and standards.

“We recognise that finding enough skilled workers to meet our production needs can be a challenge, but we are committed to working closely with the Thai government to provide skills development to a significant number of Thailand residents. This will increase employment opportunities within the country and help to address the manpower shortage,” Kothari revealed.

Bright future

KGK is optimistic about business prospects in 2023 and 2024, particularly as its expanded production capacity in Thailand will enable it to meet growing demand for high-quality jewellery with coloured gemstones and diamonds.

Kothari said, “We see bright spots in our ability to continue to innovate and develop new products that appeal to our customers. At the same time, we recognise that challenges may arise, such as changes in the global economy and shifting consumer preferences. However, we are confident in our ability to adapt and evolve to meet these challenges head-on.”

According to the company official, the group will launch new collections with unique designs and first-rate gemstones over the next two years.

An ongoing priority is the enhancement of its initiatives pertaining to the sustainable and responsible sourcing of coloured gemstones, which is a core value of its business.

Also on its agenda are fruitful collaborations with like-minded companies and individuals such as designers and influencers who share its values and vision.

“Overall, we are excited about the possibilities that the future holds and are committed to delivering the best possible products and services to our customers,” Kothari said.