Date:07/02/2006 URL: http://www.thehindubusinessline.com/2006/02/07/stories/2006020702580800.htm

Back Diamond brand Orra sets up new facility in Mumbai

Deepak Goel

New Delhi , Feb. 6

THE Belgium-based RosyBlue Group, owners of the Orra diamond brand, has set up a new diamond production facility in Mumbai with an investment of Rs 35 crore.

"The total capacity of the facility is $100 million per annum in value terms," said Mr Vijay Jain, Chief Operating Officer, Orra.

The facility would be used for both small stones as well as large stones of one carat or more, he added. Set up as a completely integrated unit, it would take care of all processes of sourcing, cutting, polishing and selling and distribution.

"The new facility would service the domestic market as well as exports," said Mr Jain. It also makes tracking of the stone possible from the rough stage to the finished diamond stage, he added.

On the retail front, the company plans to increase the number of its exclusive stores to 50 from the present 31 in the next two years.

Most of the new stores would follow the franchisee format. It also plans to expand its shop-in-shop presence by tying with more retail jewellery stores.

Orra currently has such an arrangement with the Shoppers' Stop and Pantaloon retail chains.

The company would spend Rs 20 -30 crore on the expansion, said Mr Jain.

Diamonds account for roughly 15 per cent of the estimated Rs 55,000-crore market for gems and jewellery in the country. The organised diamond market accounts for two to three per cent of the total market.

In addition to the new facility, the company also has a design centre in Mumbai.

RosyBlue, which has tie ups with the three international jewellery organisations — DTC (De Beers), Platinum Guild India and World Gold Council — has a presence in 14 countries and recorded a global turnover of $1.8 billion last fiscal.