DOHA: Weighed by oil prices, the region’s retail jewellery market is currently facing immense pressure and the market trend is expected to continue for short term, according to a leading market expert.
“We have to really watch out how global economy will be doing before predicting a long term outlook. Currently, I do not think that we will have a great year. Yes, oil is going up. But we have to see whether the trend will continue,” Corrado Facco, Managing Director of Fiera di Vicenza and Vice-President of DV Global Link, the organiser of high-profile jewellery trade show Vicenzaoro Dubai (VOD) told The Peninsula.
Corrado said the risks in Europe are stacking up. With the slowdown in Europe and shift in global demographic pattern, the global luxury market is slowly shifting to Asia and the Pacific region. “Asia’s i –Generation is going to drive global jewellery market. Currently, India and China together make out for the 65 percent of global gold market. An estimated 1,800 tonnes of gold are being converted into jewellery in a year. Of this, more than one third of the yellow metal is being processed in India and China. This clearly means the global jewellery market is shifting to Asia," he said.
Gold jewellery acounts for the largest amount of jewellery market consumption in Mainland China, more than 50 percent. In 2013, the slump in gold price provoked consumers’ interest for purchase, which made the gold jewellery market consumption jump by 42.5 percent that year, to 716.5 tonnes. In 2014, as gold prices moderated, the gold rush retreated, resulting in a year-on-year decline of 6.9 million percent in gold jewelry consumption to 667.1 tonnes.
Corrado, who was in Doha recently to attend the Doha Jewellery and Watches Exhibition, however, said the second edition of Vicenzaoro Dubai, will attract top global names this time as well. The Super Show, which is organised by DV Global Link, a joint venture between Fiera di Vicenza and the Dubai World Trade Centre (DWTC) has confirmed its status as one of the World’s most important networking platforms for jewellery, gold, precious stones and diamonds.
This year’s show will bring together the industry’s key players at an exclusive event in the Dubai World Trade Centre from April 14 to 17. An all-round platform for operators, buyers and visitors, it si designed to offer the highest standards in terms of quality, research, knowhow and innovation, in terms of trends in jewellery. Exhibitors will be provided the opportunity to present their very latest collections to professional public hailing from four strategic markets-the Middle East, Eurasia, North and East Africa , and Central and Southern Asia. Last year, the response from Qatar was quite encouraging. Some top retailers from Qatar has already confirmed their presence at 2016 show. The organisers are planning to hold a road show in Qatar in the coming weeks.
The Peninsula
