Vikram Merchant, Manager – Indian Representative Office, Rio Tinto Diamonds shares insights on the diamond industry in India.

Vikram Merchant

Can you throw some light on the trends in the diamond industry in India? What are some of the factors that contribute to its growth?

Diamonds have always been important to India. Until the 1850's India was the only known source of diamonds and every historical diamond is an Indian diamond.  The traditional skills of cutting and polishing diamonds has led India to become the largest manufacturing centre for diamonds and today 11 out of 12 diamonds set in jewellery are cut and polished in India.

Furthermore, major economic progress in India has led to a rise in disposable income and a growing interest in luxury products. India is now not just a major manufacturing centre, but also a rapidly growing end-user market for diamonds and diamond jewellery. 

Which are the major job profiles in the diamond industry?

The Indian diamond and jewellery industry is increasingly being corporatised. This is driven by a number of factors including the need for better governance, the need to form companies that can access finance on the equity markets and generally positioning Indian diamond companies for growth. Hence there is a strong need for professional management and as a result the gems and jewellery industry requires qualified business, operations, IT and finance managers, accountants, marketing specialists and HR specialists. In short, this sector is competing with any other industry for qualified professionals. Alongside these roles, there is need for equally professional artisans who will be trained as gemologists, diamond sorters, planners, diamond polishers and jewellery craftsmen.

What role does an HR manager play in this sector?

With positive growth prospects, HR management can ensure that the owners/management vision, values and policies are communicated, understood and practiced within the organization. Recruitment and talent management are key focus areas for a growth oriented industry.

What are the challenges of being employed in the diamond industry?

This industry is very people focused. Communities have been involved in the diamond industry for decades. Businesses have been largely family owned so far. Hence, the biggest challenge for professionals is to make a cultural breakthrough. Once they do that, there is great fulfilment in being in this industry. The product itself is such that it excites the professional. However, one needs to have a passion, especially as a marketer of diamond and diamond products. You need to imbibe it and immerse yourself in it.

Can you give us a little heads-up on the Indian diamond market as compared to the world market? 

We are very excited about the Indian diamond market, which along with China, provide the major drivers of growth in global diamond jewellery consumption over the next decade. Indiahas a long tradition of gold consumption and is starting to move towards diamonds as emerging middle class aspirations collide with improvements in disposable income. In India there are also strong regional differences in quality preferences that will provide opportunities for a wide range of diamonds.

- - Unnati Narang