B2B jewellery manufacturer Sky Gold & Diamonds is aiming to almost triple its manufacturing output over the next few years as it looks to become India’s largest jewellery contract manufacturer, betting on continued expansion by organised retailers and rising export opportunities.
The company currently manufactures around 700 kg of jewellery every month, or about 8-9 tonnes annually, making it India’s third-largest B2B jewellery manufacturer. It now plans to scale production to nearly 2 tonnes a month, taking annual output to 24-25 tonnes.
“We are the third largest now and manufacture around 700 kg every month. Our vision is to produce 2 tonnes per month, or 24-25 tonnes annually, which will account for around 4-5 per cent of India’s jewellery manufacturing. We aim to become India’s largest B2B jewellery manufacturer,” Mangesh Chauhan, Managing Director, Sky Gold & Diamonds, told businessline.
India manufactures roughly 50 tonnes of jewellery every month, translating to nearly 500 tonnes annually, according to Chauhan.
Unlike organised jewellery retailers that sell directly to consumers, Sky Gold operates exclusively as a business-to-business manufacturer, supplying products to leading jewellery chains across the country. Its customer base includes Titan, Malabar Gold & Diamonds, GRT Jewellers, Senco Gold, TBZ, Khazana Jewellery, Lalithaa Jewellery and several other organised retailers, besides customers in markets such as the UAE, Singapore and Malaysia.
The company said it has no plans to enter the business-to-consumer segment and instead intends to deepen relationships with existing retail partners through cross-selling across product categories such as chains, bangles, mangalsutras and studded jewellery.
Exports currently contribute around 10-12 per cent of Sky Gold’s revenue. While the company already exports to markets catering to the Asian diaspora, including Dubai, Malaysia and Singapore, it is also exploring newer geographies such as the UK.
Siddharth Sipani is the Chief Financial Officer of Sky Gold said the company has sufficient installed capacity of around 1.2 tonnes per month, with current utilisation at nearly 55 per cent, leaving enough headroom to support growth over the next 18-24 months without significant capital expenditure.
He added that organised jewellery retailers continue to aggressively expand their store networks, creating sustained demand for manufacturers. Each new store typically requires ₹80-100 crore worth of inventory, while retailers are increasingly sourcing from organised manufacturers as the industry shifts away from the unorganised segment.
Sky Gold also expects newer formats such as 9-carat jewellery and lab-grown diamond jewellery to drive incremental demand, particularly among younger consumers seeking more affordable jewellery options.