Indian Gold Book:Indian Gold Book - Gold Bars Worldwide

GOLD JEWELLERY PRODUCTS
This section covers caratages, the typical weights and relative importance of the 5 main product
categories, and the variety of regional styles.
K22 is the dominant caratage.
The bangle is the most important product for most large retailers. accounting on average for around 30% of the weight
of gold jewellery sold. A pair typically weighs between 12 g and 24 g.
Kolkata is renowned for its intricate filigree jewellery.
There is increasing consumer demand for innovative designs.
CARATAGES
Most plain gold jewellery is sold as K22, but K24, K23, K21 and K18 jewellery is also available.
K22 jewellery is generally sold as “22/20”. This means that, when the item is melted down, its fine gold content will be
approximately 10% less than its designated weight. This traditional practice takes into account gold wastage, and an
extensive use of solders, in the fabrication of most handmade items.
Since the introduction of voluntary hallmarking, and the use of solders such as cadmium, many large retailers are now
selling jewellery that is “22/22”.
K24 is often available to those customers, especially in some rural areas, who want simple, lower value added jewellery.
K23 is also available, notably in the west and north. In Maharashtra, it can account for 20% (sometimes 90%) of jewellery
sales in some outlets. In rural areas in the Punjab, K23 is widely sold.
K21, a traditional caratage in the Middle East, is sometimes available .
K18 is normally used for gold jewellery incorporating diamonds.
IMPORTANT CATEGORIES
There are 5 broad categories that normally account for the bulk of gold jewellery sales: necklaces, bangles,
chains, earrings and finger rings.
Gold usage
The importance of each category, as a percentage of the total weight of gold jewellery sold, can vary greatly among
retailers, even in the same locality.
The table below records the variation among the large urban retailers visited.
Category % Split of retail sales
by weight
Necklaces 10 - 35
Bangles 20 - 50
Chains 10 - 40
Earrings 5 - 20
Finger rings 5 - 10
Other 5 - 10
Total 100
Bangles. Generally the most important category, typically around 30% of the total weight of gold jewellery sold. They are
normally sold as pairs, sometimes 6 pairs or more at a time.
Chains. Variable, even in the same locality. In the south, chains appear to be more important, typically 25 - 35%.
Necklaces. Variable, but typically 15 - 20%. A marked decline in importance in many outlets over the past 5 years.
The importance of earrings and finger rings tends to increase progressively down the distribution chain. In small rural and
suburban outlets, their proportion often exceeds 50%. However, among many large retailers, their sale is also reported to
be increasing.
94
AN INTRODUCTION TO THE INDIAN GOLD MARKET