Perspective on the impact of US Tariff to be implemented 18th October onwards on Indian jewellery exports by Mr. Colin Shah, MD, Kama Jewelry
Below the Perspective on the impact of US Tariff to be implemented 18th October onwards on Indian jewellery exports by Mr. Colin Shah, MD, Kama Jewelry
“This geopolitically influenced trade warfare has led to a sense of panic among Indian diamond and jewellery exporters. Essentially, jewellery manufacturing and exports work on lean margin, mostly single digits to sometime lower end of double digits. With the implementation of a 100% tariff on India, India-US trade will be in jeopardy, and exporters will have to rework their margins, where the overall duties are evenly absorbed among the manufacturers, importers and retailers and still, about 5% to 7% of moderation in retail sticker tags will be passed down to end consumers.
To avoid this situation, exporters are rushing to clear off their orders and process the shipments well before the 18th October to avoid the tariff threat. To absorb the shock and yet keep the ship sailing post the implementation of a 100% tariff, Indian exporters are strengthening business in alternative markets like the Middle East under various trade pacts to diversify and keep the margins as secure as possible.”
Mr. Colin Shah, Founder and Managing Director of Kama Jewelry
Mr. Shah initiated into the diamond trade at the age of 17 with hands-on training in polished assortment, diamond manufacturing, and jewellery manufacturing. He is a first generation entrepreneur who started own business at the age of 21, exporting diamonds to Japan and Gulf along with the local market. He is a certified Gemologist from International Gemological Institute. He is Former Chairman of Gem Jewellery Export Promotion Council (GJEPC), and current member of FIEO.
Kama Jewelry was founded in 1996 with the mission to delight customers with exceptional products and superior service. We rank among the top ten diamond jewelry manufacturers and exporters in Asia. Through our three factories in Mumbai and sales offices in Mumbai, Chennai, Kolkata and Dubai, we cater to all the major jewelry markets of the world: India, USA, Europe, Middle East and Australia. Since inception, we have garnered accolades for our high-quality diamond jewelry at excellent price points. The Gem and Jewelry Export Promotion Council (GJEPC) has awarded us as the largest exporter of diamond studded outside SEEPZ for four consecutive years. We have also earned the Emerging SME Award and the Udyog Ratna Award for our business excellence.
Kama is one of the few private manufacturers in India that operates with the governance infrastructure of a listed company. Four independent audit and compliance bodies oversee the business: statutory audit (CNK & Associates LLP), internal audit (Ashok Kapadia & Associates), tax (N A Shah & Associates), and US audit (S Adelsberg & Co). The company carries a BBB Stable credit rating maintained through every economic shock of the past three decades.
Unlike many manufacturing businesses at this scale, Kama is not promoter-dependent. Senior leadership averages over 20 years of tenure. Functional heads across sales, manufacturing, design, finance, and HR operate with independent accountability. SAP ERP has governed operations since 2013, built proactively, not in response to any requirement.
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