The State government has approved and recommended to the Central government a common facility project for goldsmiths in Coimbatore.
S.M. Kamal Hasan, president of Coimbatore Goldsmiths' Association, told The Hindu the ₹15.3-crore project was expected to benefit nearly one lakh goldsmiths in Coimbatore city. The common facility centre would have machinery for the entire jewellery making process - from melting gold to hallmarking. The government would purchase the machinery for the project.
“We expect the Central government to approve the project next month,” he said.
The State government would give 10 % of the project cost (₹ 1.5 crore) and the goldsmiths invested in land and building. Their contribution would be ₹ 2 crore. The Centre would invest ₹10.5 crore.
A company called Coimbatore Goldsmith Jewellery Private Limited was formed two years ago for the project. The building construction works were on and it was expected to be completed in three months. The facility was likely to be commissioned in June, he said.
Mr. Hasan said the demand for jewellery was currently down and was expected to pick up after Pongal. The main source of bullion for the manufacturers here was the United Kingdom. With the spread of COVID-19 in the U.K., gold supply was affected. Further, the public also preferred to invest in bars and coins rather than jewellery.
