Indian Gold Book:Indian Gold Book - Gold Bars Worldwide

JEWELLERY FABRICATORS
JEWELLERY WHOLESALERS
Since 1990, wholesalers have become increasingly important. They are now supplying 30% or more
(sometimes 60%) of the stock of many large urban retailers.
Most retailers rely on them to provide machine-made chains from Mumbai and elsewhere, as well as handmade items made
locally or from a variety of fabrication centres.
The wholesaling category cannot be clearly separated as many fabricators act as their own wholesalers, many also acting
as retailers, and many wholesalers also own fabrication units.
Anecdotal evidence suggests that there are many large wholesalers selling 50 kg or more each month, operating alongside
thousands of smaller wholesalers, sub-wholesalers and commission agents.
Most are reported to service retailers only within their locality or State, but many act regionally and nationally, if located
within a major fabrication centre.
A typical large wholesaler is reported as having between 10 and 50 large clients, although it can run to many more if they
focus on smaller clients. Its staff would often be less than 10 people.
Many offer a partial credit facility, some offer consignment stocks. The inventory of a large wholesaler can be substantial,
especially if they fabricate jewellery on a speculative basis. Inventories of 50 kg and more are not uncommon.
The wholesaling of jewellery nationwide has been stimulated since banks were authorised to import and sell gold
throughout the country. Large retailers are now able to buy gold from bullion dealers nationwide for collection by the
wholesaler. This service has reduced the need to hand carry gold to major fabrication centres.
Most jewellery is fabricated by goldsmiths in small units of less than 20 workers.
AN INTRODUCTION TO THE INDIAN GOLD MARKET 105