Coimbatore

Coimbatore expects to get jewellery cluster

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Goldsmiths in Coimbatore, who are into handmade jewellery for decades, are gearing up to set up a common facility centre with machinery that will help them sustain business and cater to more orders.

S.M. Kamalhasan, president of the Coimbatore Goldsmith Association, said that as many as 66 goldsmiths had invested in a special purpose vehicle called Coimbatore Goldsmith Jewellery Private Limited that was incorporated in April 2018. The company had purchased seven cents on Vysial Street and constructed a building too. The plan was to have divisions for melting, casting, filing, testing and quality check and install machinery for various processes.

“The proposal is to have a common facility centre at a total project cost of ₹15.3 crore. We have invested 13 % of the cost in land and building. The State Government will provide 10 % and the Central Government 80 % of the project cost. The project is awaiting State Government approval,” he said. This was similar to the wetgrinder cluster developed in Coimbatore earlier.

Coimbatore earlier had more than one lakh goldsmiths who used to supply handmade jewellery, including chains, necklaces, bangles, and ear rings, to customers and retailers. With corporate companies entering jewellery manufacturing, the goldsmiths were unable to keep pace with competition. Now, Coimbatore has just about 50,000 goldsmiths. With the common facility centre, the goldsmiths can continue to make handmade jewellery and take up large orders that can be done using machinery.

“The 8,000 sq.ft. facility will be a service provider that goldsmiths can use paying a fee. The first year will be for training people to operate the machinery and bringing together members. The centre is expected to start seeing revenue from its second year of operation. We plan to sell jewellery directly to customers once the infrastructure is established and members start using it,” Mr. Kamalhasan said. Most of the machinery would be imported. Directors of the company were visiting several exhibitions to select eqipment for the common facility centre.

B. Karthigaivasan, General Manager of the District Industries Centre, Coimbatore, said the industry submitted the application for cluster project in November and it was now with the State Government. The project was followed up by Tamil Nadu Small Industries Development Corporation of India. A steering committee was expected to approve the proposal this month and forward it to the Central Government.

“The committee could not meet earlier because of the local body elections. It is likely to have a meeting this month,” he said.

The final approval from the Central Government was expected by June-July this year, Mr. Karthigaivasan said.

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Printable version | Jan 20, 2020 11:11:09 AM | https://www.thehindu.com/news/cities/Coimbatore/coimbatore-expects-to-get-jewellery-cluster/article30488253.ece

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