JNA Nov/ Dec 2021

FOCUS 12 | JNA Nov/Dec 2021 27 % Percentage contribution of the gold, precious stone, diamond and jewellery sectors to the gross domestic product of the UAE 黃金、寶石、鑽石和首飾業於 阿聯酋國內生產總值所佔的百分比 rapid uptake in vaccinations, wedding venues have continued to be strictly restricted while this is a country known for its big weddings where gold and ostentatious jewellery plays a big role,” declared Euromonitor. DGJG’s Abdullah believes Dubai’s jewellery consumption in 2021 would remain at some 200 tonnes given significant jewellery exports, especially to the Gulf countries, and the return of tourist traffic. Retail jewellery brand Devji Aurum Design House & Studio also saw demand rebound this year, following a soft 2020, said company director Mahesh Devji. The brand has eight stores in Bahrain, three in the UAE (Dubai), four in Oman and two in India. “Given precautions against social gatherings, the bulk of jewellery demand up until a few months ago focused largely on essentials, items for gifting and significant pieces for life occasions such as weddings and anniversaries. This trend is likely to continue until travel returns to normal,” Devji shared. “At present, fine jewellery for daily wear are much sought after. Demand for statement pieces picked up in the last six months as well.” During the downtime afforded by the pandemic, Devji Aurum expanded its creations in various design categories, from bridal and fashion to its signature line, Ruhi. It also strengthened its brand positioning, opening the first House of Devji concept store with all the company’s brands in Bahrain this year. It plans to open similar concepts in other countries too. Tourism and events buoy jewellery demand in the Gulf region. Expo Dubai 2020, from October 2021 through March 2022, is bringing in visitors from around the world, eager to take in the sights and partake of retail offerings. Devji anticipates an uptrend in sales of daily- wear and statement jewellery in Dubai on the back of tourist arrivals for the Expo. Other international events such as the FIFA World Cup 2022 in Qatar will likewise boost retail activity for luxury goods, including jewellery. Evolving preferences While the Gulf region is generally partial to gold jewellery, demand for diamond jewellery and coloured gemstones is on the rise, noted Ashish Garg, head of Sales & Marketing at KGK Diamonds & Jewellery, jewellery conglomerate KGK Group's marketing arm in the Middle East. The company focuses on the B2B trade of loose diamonds, diamond jewellery, loose coloured gemstones and jewellery, and unbranded jewellery in the Gulf region, the Middle East as well as North Africa. “Progressively over the years, retailers in the GCC countries are realising that diamond jewellery offers good margins. A lot of consumers are shifting from gold jewellery to diamond jewellery. We offered our B2B partners products that were more affordable, fashionable and viable alternatives to gold jewellery pieces. So we identified the need, provided the product and brought these to our retail partners for them to grow their business,” Garg explained. The market for loose coloured gemstones and jewellery is likewise enjoying a post-lockdown boost as consumers gravitate towards vibrancy, colour and flair after the sombre disruptions of the pandemic. Certified diamonds are also gaining ground in the GCC market, Garg maintained, noting that meeting the requirements for luxury goods of affluent Gulf consumers would ensure success in the market. Garg added, “KGK believes in going deep in the market and understanding the consumers rather than just Martin Leake, special advisor – Precious Stones of DMCC 迪拜多種商品交易中心稀有寶石部門特別顧問 Tawhid Abdullah, chairman of Dubai Gold & Jewellery Group 迪拜黃金和珠寶集團主席