What Next?

In the wake of the Nirav Modi-Mehul Choksi scandal, almost overnight the reputation of the Indian gem and jewellery industry was dealt a huge blow. The incident also triggered queries about the murkier side of the business. For weeks on end, questions were raised by almost every news channel and newspaper about malpractices such as round-tripping, gold smuggling, etc. by a few rogue operators. Given the magnitude of the fraud, things will never be the same again—from the government’s perspective, the banking sector’s perspective, and the consumer’s perspective. The industry has some soul-searching to do. Solitaire invited diamond industry advisor Pranay Narvekar to show the way forward and discuss in detail the long-term impact of the financial fraud on the industry. Read the Cover Story for Pranay’s in-depth views on the need for greater self-regulation, tightening of lending norms, adhering to a code of ethics and more.

Our special correspondent Cynthia Unninayar visited the twin Hong Kong gem and jewellery shows, which attracted an all-time high of 87,000-plus buyers and a record 4,550 exhibitors from 52 countries and regions. Turn to Trade Fair for the full show report.

The third Common Facility Centre of the Gem & Jewellery Export Promotion Council (GJEPC) was inaugurated by Suresh Prabhu, the union minister of commerce & industry, in Amreli, Gujarat last month. This facility, which aligns with Prime Minister Narendra Modi’s ‘Skill India’ and ‘Make in India’ initiatives, will help in the technological and social transformation of workers and small manufacturers engaged in diamond cutting and polishing activities.