Expansion plans are in the pipeline for some of Qatar’s major jewellery shops, which have witnessed a “positive trend” in the jewellery business, according to industry sources.

Malabar Gold & Diamonds regional head Santhosh T V told Gulf Times that while current market conditions “are unusual,” the gold sector has “performed better” in 2017 compared to last year.

For this month alone, Santhosh said Malabar Gold & Diamonds opened seven new outlets in the Middle East and India, which, he said, “is an indication that the market is booming.”

“In the previous week, we have witnessed a surge in footfall as many customers had been visiting our shops to make inquiries or making advance selections related to the Diwali Festival,” Santhosh said.

“Compared to last year, we experienced overall growth in business this 2017. Similarly, we are expecting growth during Diwali Festival because since last week we have seen strong public acceptance,” he continued.

Santhosh said new projects in Qatar also include plans to open the ‘Malabar Gold & Diamond Lifestyle Jewellery’ outlet in Lagoona Mall next month – Malabar’s seventh store in Qatar.

Similarly, Kalyan Jewellers chairman & managing director T S Kalyanaraman said the company has plans of setting up a manufacturing facility in Qatar. “We are hopeful that we will be able to do the same in this financial year,” he said in a statement sent to Gulf Times.

He noted that Kalyan shops in Qatar experienced an increase in footfall in the run-up to the Diwali Festival.

“There is a positive trend in the purchase of jewellery. While there is a robust demand for gold jewellery, there is an increasing interest in customers for studded stone jewellery and uncut diamond jewellery. Our expectation is that a significant proportion of the demand will be converted into sales,” he stressed.

Since the festival is considered an auspicious time to buy gold, jewellery stores are expecting an uptick in sales.

Kalyanaraman said: “The impending Dhanteras and Diwali season has begun on a promising note and we are expecting an 8% to 10% increase in sales compared to last year…while the reduction in the prices of gold (1% as compared to last month) could be contributing factors for the upswing, we believe that the festive seasons followed by the wedding season are also contributing to demand.”

Santhosh added: “From April to September 2017, we already recorded a 23% increase in sales but for Diwali Festival, we are anticipating a 20% increase in business compared to last year.”

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