Beyond Jewelry: New Horizons for Lab-Grown Diamonds

India's lab-grown diamond sector is rapidly evolving, moving beyond jewelry to innovative applications across industries such as electronics, aerospace, defense, quantum computing, and advanced manufacturing.

A Rapidly Expanding Industry

Initially known for rapid production growth in Surat, India's lab-grown diamond industry is now expanding its scope significantly. The emergence of numerous startups has shifted the focus from manufacturing alone to retail branding and exploring new industrial applications.

Government and Academic Collaboration

Recognizing the potential beyond jewelry, the Indian government awarded a Rs 2.43 billion ($28 million) grant to the Indian Institute of Technology Madras (IIT-M) in 2023. This initiative led to the establishment of the India Centre for Lab-Grown Diamond (InCent-LGD), a hub dedicated to research and development.

At a recent seminar organized by InCent-LGD, experts highlighted lab-grown diamonds' potential in industries requiring advanced materials due to their hardness, thermal conductivity, and chemical stability. Applications include quantum computing, precision sensors, aerospace, defense, electronics, water treatment, and advanced manufacturing.

Technological Advancements

Professor M.S. Ramachandra Rao, head of InCent-LGD, anticipates significant technological breakthroughs within two years, including the development of indigenous microwave plasma (MP-CVD) and high-pressure high-temperature (HPHT) machinery. These developments could position India as a global leader in lab-grown diamond technology.

Sabyasachi Ray of the Gem & Jewellery Export Promotion Council (GJEPC) stated, "India is poised to become the largest producer of rough lab-grown diamonds and a global hub for cutting, polishing, and trade."

Promoting Transparency and Consumer Confidence

Despite the diversification into other industries, jewelry remains central to the lab-grown diamond market. Industry-wide measures have been implemented to ensure transparency and differentiation between natural and lab-grown diamonds. GJEPC is encouraging adherence to clear terminology and marketing guidelines set by the U.S. Federal Trade Commission (FTC).

A working group under India's Central Consumer Protection Authority, in consultation with GJEPC, is developing Indian standards to further enhance clarity and transparency.

Industry Self-Regulation

The jewelry industry's effective self-regulation model, supported by accessible diamond detection technology, ensures the clear distinction and coexistence of natural and lab-grown diamonds. The Bharat Diamond Bourse (BDB) exemplifies this model, advising members on maintaining clear separation and using detection devices to prevent inadvertent mixing.

Retail Expansion and Market Growth

Brands like Limelight Lab Grown Diamonds, Giva Jewellery, Fiona Diamonds, True Diamond, Solitario, and Aukera Jewellery are reshaping India's retail landscape. Limelight, established in 2019, has already expanded significantly, operating over 60 retail points across more than 35 cities and recently securing $11 million in funding for further growth. The brand plans to exceed 100 outlets by 2026 and is eyeing international markets by 2027.

Established retail giants like Trent Retail (Tata Group) and Senco Gold & Diamonds have also entered the lab-grown diamond market, indicating mainstream acceptance and potential growth.

As Sabyasachi Ray noted, "India will be the future epicenter of lab-grown diamond technology and innovation." The potential for lab-grown diamonds is vast, and India's role as an innovator and leader in this sector continues to expand rapidly.

https://nationaljeweler.com/articles/13716-beyond-jewelry-possibilities-in-the-lab-grown-diamond-sector