Imitation Jewellery Continues To Shine Bright

(via Economic Times) Tapash Talukdar writes:

Lalabhai looks happy earning more than Rs 300-400 per day by making imitation jewellery. He, who has been making gold jewellery a year back, has joined an imitation jewellery unit. Thanks to the surging demand of imitation jewellery in the country and few overseas customers.

Like him, a large section of workers working at gold and silver jewellery units, have shifted their focus towards imitation jewellery. The fancy items have not only facilitated better wages for the workers, but also invited more family members into the growing business. Most of the 300-odd units of imitation jewellery, based at Ranchodnagar in Rajkot have found new business opportunities to display their creativity in making various kinds of products like necklace, bangles, chains, bracelets and other regular items. The daily wages for a worker has gone up significantly and has been decided on the basis of the day’s output. On an average, a worker earns Rs 10,000-20,000 per month against their regular income of around Rs 5,000.

Nearly 5,000 workers, including family members, are involved in making fancy items for their regular customers in Maharashtra, Uttar Pradesh, Rajasthan, Madhya Pradesh, Andhra Pradesh and other northern parts of India. More than 40 per cent of the total workforce comprises of women and the number is growing. The workers have been coming from various parts of the country, especially from West Bengal and Uttar Pradesh.

Narendra Mehta of Mahavir Jewellers said: “The product goes through five to six stages of manufacturing which is bound to give employment to as many units”.

More info @ http://economictimes.indiatimes.com/News/News_By_Industry/Cons_Products/Fashion__CosmeticsJewellery/Imitation_jewellery_continues_to_shine_bright/articleshow/2107511.cms

Life's Values

(Founder, Infosys Foundation) Sudha Murthy writes:

In life's journey, we all meet strange people and undergo many experiences that touch us and sometimes even change us. If you have a sensitive mind, you will see your life too in the vast storehouse of stories. For me, it is something closest to my heart. Initially, I was a mother to it but somewhere along the line, it has become the mother and I the child.

Useful link:
www.infosys.com

India’s Gem Of A Challenge To Belgium & Israel

(via Times News Network) K G Narendranath writes:

A committee comprising the Central Board of Direct Taxes and the commerce ministry is working on a tax regime that will address the complex valuation issues peculiar to the $17.5-billion gems and jewellery industry that thrive on exports.

However, the exercise, which follows a Budget 2007 announcement, is likely to fall short of a complete shift to turnover-based taxation, as was mooted by the commerce ministry and the industry earlier. According to sources, what is being considered is a “simpler tax assessment scheme” which will factor in the reality that it is difficult to lay down standard input-output norms for this industry.

In the last Budget, the import duty on cut and polished diamonds was knocked off, with a view to giving a fillip to the efforts to make India a global diamond trading hub like Belgium and Israel. Currently, even as India’s diamond cutting and polishing abilities are doubtless the best in the world and cost of such processing is one-fifth of diamond-rich South Africa’s, the country’s huge dependence on imports for rough diamond is preventing it from becoming a trading hub.

Also, the present tax on income is onerous because of grossly fallible assessment. The Budget decision to let duty-free import of cut and polished stones has proved to be a shot in the arm for the sector. A shift to turnover-based tax is the next logical step, which would go a long way in developing India as a global diamond trading hub.

Countries which are serious players in diamonds have tax regimes compatible with this industry’s inherent disinclination to stick to standard value addition norms for tax purposes. It is globally appreciated that it is difficult to gauge value addition in diamonds. Dubai and China keep very low taxes on diamonds. Many other countries, including Belgium, which is the largest diamond trading hub with exports of $23 billion a year, have turnover tax instead of income tax on diamond businesses.

There are countries which tax diamond traders’ income based on presumptive valuation to avoid the rigorous and erroneous valuation that could stifle the industry. It is clear that turnover-based taxation addresses valuation issues better than income tax. As India’s policymakers envision the country becoming as global diamond trading hub, they don’t need to worry about a revenue drain. A sudden increase in the industry’s turnover (the sector is growing at a CAGR of 20% even now) would enhance tax revenue.

Even though global diamond companies like Rio Tinto and De Beers operate in India and are keen to tap India’s cheap and highly skilled processing ability, they still don’t augment their investments in great measure, as the country is yet to be a trading hub. Traditionally, the domestic industry has confined itself to processing of rough diamonds imported from Australia and SA into cuts and polished diamonds, and exporting these items to a large number of countries including the US and the EU. Cheaper imports of cut diamonds have now enabled greater product differentiation and augmented trade with or without major value addition.

More info @ http://economictimes.indiatimes.com/Indias_gem_of_a_challenge_to_Belgium__Israel/articleshow/2129877.cms

Identification Of Chocolate Pearls Treated By Ballerina Pearl Co

Cultured pearls with a chocolate color have entered the market from several sources. Analytical tests indicate that the organic components in black cultured pearls may have been partially bleached to create the brown color. The treated cultured pearls can be identified by visual observation, unusual coloration, fluorescence, UV-Vis-NIR reflectance and Raman spectroscopy + trace element composition.

Useful link:
http://ballerinapearl.com

Blue Quartz From Minas Gerais, Brazil

The amethyst mine of Montezuma in the northern part of the Brazilian state of Minas Gerais produces amethyst which can be modified to green by heat treatment. In the trade the treated gems are sold as prasiolite. If the stones are exposed to gamma ray treatment, the stones may turn blue.

The Elphick Factor

Chaim Even-Zohar writes about Clifford Elphick + the acquisition of a small diamond mine in Lesotho + behind the scene developments at the Oppenheimer family + Elphick's rising star status on the South African national business scene @ http://www.idexonline.com/portal_FullEditorial.asp?TextSearch=&KeyMatch=0&id=27155

Useful link:
www.gemdiamonds.com

Diamonds By Linares, Gemesis May Cut De Beers, Rio Tinto Sales

Danielle Rossingh writes about laboratory-created diamonds and its impact + the natural diamond industry concerns @ http://www.bloomberg.com/apps/news?pid=20601087&sid=ax6nfaTs6FKg&refer=home

Schindler's List

Memorable quote (s) from the movie:

Oskar Schindler (Liam Neeson): Look, All you have to do is tell me what it's worth to you. What's a person worth to you?

Amon Goeth (Ralph Fiennes): No, no, no, No. What's one worth to you!