The Indian imitation jewelry market has emerged as one of the rapidly growing business segments of the country. Low cost, innovative designs and rise in fashion among the rural and urban folk compared to original jewelry have made the business particularly popular throughout the country. Indeed, the imitation jewelry market in India is anticipated to grow at a CAGR of around 20% over the period 2014-2018, says RNCOS in its latest report “India Imitation Jewelry Market Outlook 2018".

Higher gold prices and less awareness among Indians about customs clearance norms have worked in favor of costume jewelers in the country. Costume jewelers say that they have clocked 20-30% growth in the current fiscal with women from affluent households embracing such jewelry for attending weddings and parties in foreign locales.

"Disposable income to buy gold jewelry in Indian households has dried up. So, there is a shift towards costume jewelry," added Mantri. Costume jewelry is largely made of brass, cast iron, nickel, plastic beads and stones, instead of precious metals and gems. It does not have resale value and is available in the range of less costhan Rs 100 and may go as high as Rs 50,000 depending upon the item.

While demand from the US and European markets has been on the rise over the last 9-12 months (in volume terms), demand from rural market has also grown substantially over the years. Gold is and will always be an emotional and investment-oriented purchase in our country. But price being such a constraint, imitation jewelry, via its large canvas of raw material, offers various ways to phrase your expression. In fact, the imitation/fashion jewelry market sees a rise of nearly 85% during festivals. It is growing by nearly 20% per annum".