MONTH IN REVIEW
www.jewelleryfocus.co.uk
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GOLD CONSUMER DEMAND ACCOLADES
The World Gold Council has launched a
one-off essay collection titled ‘Gold 2048’,
which analyses how the gold market is
set to evolve over the next 30 years.
Contributions from authors such as
George Magnus, senior economist, Rick
Lacaille, global chief investment officer
of State Street Global Advisors, and
Michelle Ash, chief innovation officer at
Barrick Gold include:
n The expanding middle class in China
and India, combined with broader
economic growth, will have a
significant impact on gold demand.
n Use of gold across energy, healthcare
and technology is changing rapidly.
Gold’s position as a material of choice
is expected to continue and evolve
over the coming decades.
n Mobile apps for gold investment,
which allow individuals to buy, sell,
invest and gift gold will develop
rapidly in India and China.
n Environmental, social and
governance issues will play an
increasing role in re-shaping mining
production methods.
n The gold mining industry will have
to grapple with the challenge of
producing similar levels of gold
over the next 30 years to match the
volume it has historically delivered.
Aram Shishmanian, CEO of the World
Gold Council said: “Since its creation in
1987, the World Gold Council has worked
with policymakers, regulators and
industry participants to drive understanding
of and, ultimately, demand for gold.”
He added: “The next 30 years will
no doubt bring significant changes –
some we anticipate, some that none
of us predict. I am delighted that in
‘Gold 2048’ we have brought together a
stellar set of contributors – economists,
investment managers, leaders in the
mining industry, as well as our own
specialists – to consider the global
trends and dynamics that will drive this
fascinating market forward.” Global
consumer
demand for
diamond
jewellery hit
a new all-
time high in
2017, climbing
to US$82bn (£60.7bn), according to
industry insight data published by De
Beers Group.
The US was the main driver for
the overall 2% growth for the fourth
consecutive year, where positive
macroeconomics and strong consumer
confidence saw demand for diamond
jewellery increase 4% to US$43bn
(£31bn), representing more than half of
total global demand.
An increase in self-purchase of
diamond jewellery helped drive demand,
representing 33% of total US diamond
jewellery pieces acquired in 2017.
Consumer demand in Mainland
China, the world’s second largest
consumer market for diamond
jewellery, also returned to positive
growth in 2017, reflecting the trend of
the broader luxury goods sector.
Demand increased 3% in local
currency and 1% in US dollars, totalling
$10 bn (£7.4bn). Growth was supported
by strengthening macroeconomics
towards the end of the year and a 20-
year high in consumer confidence.
In addition, there was a revival in the
Hong Kong market in the second half
of 2017, driven by both stronger local
demand as well as a resurgence of
Mainland visitor shopping.
Bruce Cleaver, CEO, De Beers Group,
said: “People around the world are
spending more on diamond jewellery
than ever before and it’s encouraging
to see consumers in the US, the world’s
largest and most mature market,
leading the way. Six jewellery companies have been
named in the London Stock Exchange’s
annual 1000 Companies to Inspire
Britain report.
World Gold
Council releases
30-year outlook
on gold industry
12 JEWELLERY FOCUS
Global consumer
demand for
jewellery hits
new record high
of $82bn
Jewellers named
in London Stock
Exchange’s 1000
Companies to
Inspire Britain
Allum & Sidaway, David Christopher
Jewellers, In-Time Watch and Jewellery
Reports, Monica Vinader, Pragnell
Jewellers and Watchfinder were all
named in the fifth edition of the report,
which focuses on the fastest growing
SMEs in the UK.
Monica Vinader, Watchfinder
and Pragnell Jewellers were those
estimated to have the highest revenue
over the past 12 months when taking
into consideration the companies’ size
and age.
With Pragnell Jewellers the only one
of the three to be singled out in the
report. The West Midland company was
labelled a “Jewel in the UK’s Crown”
with estimated revenues of £30-40m.
The report states:“From an
engagement ring fit for the Queen
to a world-record-busting, limited
edition, Patek Philippe watch, it is
the incredibly diverse range of goods
that makes the historic business the
success it is today.”
Quoted in the report, Pragnell
managing director Pragnell, said:
“We have the most diverse range of
goods and services in jewellery-related
matters in the UK. We have a fantastic
selection of luxury watches from the
world’s leading watch brands, to a
beautiful collection of modern, antique
and period jewellery, and modern and
antique silver.”
June 2018 | jewelleryfocus.co.uk