PRECIOUS STONES AND JEWELLERY SECTOR
Ministry ofIndustry and CommerceIslamic Republic of AfghanistanAFGHANISTAN’SNATIONAL EXPORT STRATEGY 2018-2022PRECIOUS STONES ANDJEWELLERY SECTORRevealing Afghan beautyto international markets
ITC is the joint agency of the World Trade Organization and the United Nations. As part ofITC’s mandate of fostering sustainable development through increased trade opportunities,the Chief Economist and Export Strategy section offers a suite of trade-related strategy solutions to maximize the development pay-offs from trade. ITC-facilitated trade developmentstrategies and roadmaps are oriented to the trade objectives of a country or region and canbe tailored to high-level economic goals, specific development targets or particular sectors,allowing policymakers to choose their preferred level of engagement.The views expressed herein do not reflect the official opinion of ITC. Mention of firms, products and product brands does not imply the endorsement of ITC. This document has notbeen formally edited by ITC. International Trade Centre 2018ITC encourages reprints and translations for wider dissemination.Short extracts may be freely reproduced, with due acknowledgement,using the suggestion citation.For more extensive reprints or translations, please contact ITC,using the online permission request form:http: / / www.intracen.org / Reproduction-Permission-Request /The International Trade Centre ( ITC )Street address :Postal address :Telephone :Postal address :Email :Internet :ITC, 54-56, rue de Montbrillant, 1202 Geneva, SwitzerlandITC Palais des Nations 1211 Geneva, Switzerland 41- 22 730 0111ITC, Palais des Nations, 1211 Geneva, Switzerlanditcreg@intracen.orghttp : / / w ww.intracen.orgLayout:Jesús Alés – www.sputnix.es
AFGHANISTANNATIONAL EXPORT STRATEGY2018-2022PRECIOUS STONES AND JEWELLERY SECTORMinistry ofIndustry and CommerceIslamic Republic of AfghanistanThis project is fundedby the European Union
iiiACKNOWLEDGEMENTSThe Precious Stones and Jewellery Strategy is an integral part of Afghanistan’sNational Export Strategy. It was developed under the aegis of the Islamic Republicof Afghanistan, the leadership of the Ministry of Industry and Commerce, AfghanistanWomen Chamber of Commerce and Industry, and the Afghanistan Chamber ofCommerce and Industry, in close collaboration with the Afghanistan NationalStandards Authority. The Strategy benefited from the contributions of sectorstakeholders and associations, who played an important role in the consultativeprocess. This Strategy was elaborated thanks to technical assistance provided bythe International Trade Centre, and falls under the framework of the European Union( EU )-funded ‘Advancing Afghan Trade : EU Trade Related Assistance’ project.This document reflects the ambitions of the public and private stakeholders whodefined the enhancements and future orientations for the sector with the objectiveof increasing export performance and social dividends.
ivNOTE TO THE READERAfghanistan’s NES was developed based on a participatory approach during whichover 500 Afghan industry leaders, small business owners, farmers and publicsector representatives held consultations to reach consensus on key sector competitiveness issues and priority activities. These inclusive consultations were heldthroughout the country, including in Mazar-e-Sharif, Herat, Kandahar and Kabul,with participation of stakeholders coming from Nangarhar Province.Besides in-depth research and value chain analysis, these consultations were complemented by: Factory visits through which supply chain assessments were carried out to gainfurther knowledge on key issues such as quality procedures, technical skills, leanmanagement, quality of raw materials, access to market, etc. Interviews with domestic, regional and international buyers to guide the NESwith strategic insights and market intelligence as well as buyers’ requirements interms of quality standards, food safety, packaging, buying cycles, distributionchannels, prices, etc. Donor coordination meetings to identify synergies with ongoing / planned initiatives of development partners to eventually result in collaboration during theimplementation phase.In spirit and in action: The NES is aligned with existing national and sector-specificplans and policies and builds on ongoing initiatives in areas related to private sectordevelopment, regional integration, investment, and youth and women’s economicempowerment.Equally important, the NES initiative already accommodates budgeting to supportimplementation of critical pilot activities identified during the design process. Thiswill ensure that impact and momentum are generated from early on, and supportfurther resource mobilization and confidence-building.
vThe principal outputs of the NES Afghanistan design initiative are endorsed, coherentand comprehensive export Strategy documents with a five-year detailed plan of action ( PoA ) and implementation management framework. These documents include:1. A main NES document, which contains Trade Support Functional strategies,offering critical support across value chains and acting as enablers for sectordevelopment.2. Individual NES priority sector strategies packaged as separate documents butin alignment with the main NES findings and overarching strategic objectives.NES AfghanistanMain NES document comprising Trade SupportFunctional Strategies: Quality managementTrade facilitationTrade information and promotionSkills developmentBusiness and professional servicesAccess to financeIndividual NES priority sector documents: SaffronFresh fruits and vegetablesDried fruits and nutsCarpetsMarble and granitePrecious stones and jewellery
viCONTENTSAcknowledgements iiiNote to the reader ivEXECUTIVE SUMMARY 1PRECIOUS STONES AND JEWELLERY: A BRILLIANT OUTLOOK AT THE GLOBAL LEVEL 3SWITZERLAND 4HONG KONG ( CHINA ) AND MAINLAND CHINA 5UNITED STATES 6UNITED KINGDOM 7INDIA 7UNITED ARAB EMIRATES 8AN OVERVIEW OF PRECIOUS STONES AND JEWELLERY IN AFGHANISTAN 9KEY CURRENT PRODUCTION STATISTICS 9SOCIOECONOMIC IMPACT 10AFGHANISTAN’S EXPORT PERFORMANCE 10VALUE CHAIN ANALYSIS 13Input supply 13Production 13Processing 14Distribution 14POLISHING THE KNOWLEDGE OF KEY COMPETITIVENESS CONSTRAINTS 16COMPETE 16CONNECT 19CHANGE 21
viiMARKETS FOR AFGHANISTAN’S PRECIOUS STONES AND JEWELLERY SECTOR 23SHINY FUTURE FOR THE PRECIOUS STONES AND JEWELLERY INDUSTRY AND TRADE 23MARKET SEGMENTATION 23FOLLOWING THE LATEST TRENDS 24Internationalization of brands 24E-commerce is the fastest-growing channel for jewellery 24Appealing to young audiences requires product development and an acceleration of supply chain processes 24PRECIOUS OPPORTUNITIES : CONSOLIDATED AND EMERGING MARKETS 25Short-term priorities ( 1–3 years ) 25Medium-to-long term ( 3 years ) 26STRATEGIC OPTIONS FOR REVIVING AND PROMOTING AFGHAN PRECIOUS STONESAND JEWELLERY 31VISION 31STRATEGIC OBJECTIVE 1 : INCREASE PRODUCTIVE CAPACITY WHILE SUPPORTING DIVERSIFICATIONAND ENTREPRENEURSHIP. 31STRATEGIC OBJECTIVE 2 : IMPROVE THE REGULATORY FRAMEWORK AND INFRASTRUCTURE SUPPORT 33STRATEGIC OBJECTIVE 3: CREATE AND PROMOTE AN AFGHAN PRECIOUS STONES AND JEWELLERY BRAND 35MOVING TO ACTION 37KEY REQUIREMENTS FOR EFFECTIVE IMPLEMENTATION 37STRATEGIC PLAN OF ACTION 39REFERENCES 49
viiiFIGURESFigure 1 : Theory of change 2Figure 2 : World exports in the precious stones and jewellery sector, 2005–2016 ( US billions ) 3Figure 3 : Top 10 exporters in the precious stones and jewellery sector ( US billions ) 3Figure 4 : Trade balance, top 10 importers of precious stones and jewellery, 2016 ( US billions ) 4Figure 5 : Afghanistan’s exports of precious stones and jewellery, 2005–2016 ( US millions ) 11Figure 6 : Afghanistan’s top export destinations for precious stones and jewellery, 2005 ( US thousands ) 12Figure 7 : Afghanistan’s top export destinations for precious stones and jewellery, 2015 ( US thousands ) 12Figure 8 : Afghanistan’s exported precious stones and jewellery, 2016 12Figure 9 : Current value chain 15Figure 10 : Problem tree – compete 18Figure 11 : Problem tree – connect 20Figure 12 : Problem tree – change 22Figure 13 : Jewellery segmentation and indicative prices 24Figure 14 : Future value chain – strategic objective 1 32Figure 15 : Future value chain – strategic objective 2 34Figure 16 : Future value chain – strategic objective 3 36
ixBOXESBox 1 : Switzerland 4Box 2 : Hong Kong ( China ) and China 5Box 3 : United States 6Box 4 : United Kingdom 7Box 5 : India 8Box 6 : United Arab Emirates 8Box 7 : Varieties of raw materials 9Box 8 : Export potential in India 26Box 9 : Export potential in the United States 27Box 10 : Export potential in the UAE 29
Photo: ITC
xiACRONYMSThe following abbreviations are used :ACCIAfghanistan Chamber of Commerce and IndustriesMoEMinistry of EducationACIMAfghanistan Chamber of Industries and MinesMoFMinistry of FinanceANSAAfghanistan National Standards AuthorityMoLSAMD Ministry of Labour, Social Affairs, Martyrsand DisabledAWCCIAfghanistan Women Chamber of Commerceand IndustryMoMPMinistry of Mines and PetroleumEPAAExport Promotion Agency of AfghanistanNESNational Export StrategyEUEuropean UnionPoAPlan of actionFACTFederation of Afghan Craftsmen and TradersPSUPrecious Stone UnionICCInternational Chamber of CommerceSMEsSmall and medium-sized enterprisesITCInternational Trade CentreTVETTechnical and vocational education and trainingMoCIMinistry of Commerce and IndustriesUAEUnited Arab Emirates
Photo: ITC
1EXECUTIVE SUMMARYThe Afghan precious stones and jewellery sector offers ashining future to the country’s handicraft industry. With itsmany stages of production, the sector holds opportunities togenerate inclusive employment for women, youth and people in rural areas at different value chain steps.Precious stones and jewellery production are deeplyrooted in the Afghan culture. In recent years, greater use ofe-commerce has facilitated access to Afghanistan’s hiddengems and unique Afghan pieces have been rediscoveredby international markets. The increasing visibility of Afghanjewellery paired with international demand for unique,handmade products contributes to a brilliant outlook for thesector. Unlocking this potential will unveil Afghan art andtradition to world markets.At present, the sector’s export potential is constrained bysupply-side and business environment challenges, as wellas difficulties entering new markets. Improvements acrossthe value chain are needed to overcome these hurdles, inareas ranging from mining techniques to processing methods and introducing modern technology.The Strategy thus aims to achieve the following impacts,with the overarching goal of strengthening the Afghan precious stones and jewellery sector’s value proposition to international buyers. Some of the specific objectives are : Increase precious stone and jewellery production in termsof volume and value ; Diversify product and design variety and target markets ; Establish Afghan precious stones and jewellery asunique, handmade products with a lasting brand in international markets ; Increase the inclusion of women, youth and people in rural areas, and spread socioeconomic benefits to actorsacross the value chain.STRATEGIC OBJECTIVE 1 : INCREASEPRODUCTIVE CAPACITY WHILESUPPORTING DIVERSIFICATIONAND ENTREPRENEURSHIPThis strategic objective aims to professionalize and standardize both mining and processing practices in order toachieve larger-scale production. As a part of this objective,entrepreneurship will be encouraged and management skillsenhanced. Efforts will be made to improve access to financein order to facilitate purchasing the modern machinery andtools needed to perform advanced value addition.STRATEGIC OBJECTIVE 2 : IMPROVETHE REGULATORY FRAMEWORKAND INFRASTRUCTURE SUPPORTThis strategic objective will focus on improving coordination between the various actors involved in the value chain,including miners, intermediaries, exporters, processors, researchers and other sector stakeholders. Success in thisarea will be achieved through improved sector governance,improved access to quality testing and certification, institutional support and empowered sector associations, with aparticular focus on organizations led by women.STRATEGIC OBJECTIVE 3 : CREATEAND PROMOTE AN AFGHAN PRECIOUSSTONES AND JEWELLERY BRANDThe Strategy is driven by the following overall vision :“Precious stones and jewellery :revealing Afghan beautyto international markets”To achieve this vision, the Strategy focuses on three strategic objectives.The aim of this objective is to build on recent but still fragileachievements of the Afghan precious stones and jewellerysector in order to cement a high reputation in internationalmarkets. This objective can be attained by supporting anintegrated approach to promoting and commercializing theunique products within the sector export basket. Adequatesupport is needed for the quality-testing institutions and certificates that will protect the reputation of Afghan preciousstones and jewellery.Finally, this objective will focus on building the capacityof select enterprises to modernize their brand and therebyappeal to a larger pool of potential buyers, as well as develop the analytical ability to identify and adapt to dynamicglobal trends.[ EXECUTIVE SUMMARY ]
2Figure 1 captures the vision and strategic objectives of the precious stones and jewellery sector.IMPACTFigure 1 : Theory of change Increased precious stones and jewellery production in terms of volume and value Diversified product variety and target markets Afghan precious stones and jewellery established as a unique, handmade product with a lastingbrand in international markets Increased inclusion of women, youth and people in rural areas, and socioeconomic benefits spreadto actors across the value chainIMPACTSTRATEGIC THRUSTSSTRATEGIC OBJECTIVESVISION‘Precious stones and jewellery:revealing Afghan beauty tointernational markets’1. Increase productive capacitywhile supporting diversificationand entrepreneurshipIncrease absolutevolumes whileimproving qualitylevelsEstablisha strongAfghan brand forprecious stonesand jewelleryUnlock financialresources andsupport through theGovernment3. Create an Afghan preciousstones and jewellery brandUpgradetechnology andtrain human capitalUpgradetechnology andtrain human capitalA gem in the Afghan economy not yet able to unfold its full potential to integrate women, youth andpeople in rural areas through modernization and technological development in mining and processingCompeteSITUATION ANALYSIS2. Improve the regulatoryframework and infrastructuresupport Limited access to financeand governmental supportschemes Scarce critical inputs Weak awareness of qualitymanagement and certification Insufficient availabilityof trained workers andknowledge High production costsConnect Limited connectivity tointernational markets Insufficient in-marketsupport Limited branding andpromotion of Afghanproducts Poor logistics andtrade-related infrastructureChange Limited capacity to upgradethe value and quality ofproduction Poor managerial skills andlack of institutional supportfostering innovation Restricted sector expansionresulting from operationalobstacles[ AFGHANISTAN’S NATIONAL EXPORT STRATEGY / PRECIOUS STONES AND JEWELLERY SECTOR 2018-2022 ]
3PRECIOUS STONES AND JEWELLERY:A BRILLIANT OUTLOOKAT THE GLOBAL LEVELFigure 2 : World exports in the precious stonesand jewellery sector, 2005–2016 ( US billions )1.0009008007001.– Based on 0820072006202005-20Throughout history, human beings around the world havedesired precious stones, attracted by their beauty andluminosity. These physical characteristics come from different minerals being subjected to varying environmentalconditions, such as soil, pressure and heat. Colombia, forinstance, is the biggest producer of emeralds, contributing75 % to 90 % of the world’s supply. Sri Lanka is known formore than 50 varieties of gems, ranging from sapphires torubies. In Africa, Madagascar is responsible for almost 50 %of the world’s total production of sapphires. Botswana is oneof the most important sources of diamonds. Approximately90 % of the world’s opals come from Australia.While the above countries, among others, are known asthe best sources for various precious stones, the largestexporters of precious stones and jewellery are Switzerland,Hong Kong ( China ), the United States of America, India,the United Arab Emirates ( UAE ) and the United Kingdom ofGreat Britain and Northern Ireland.1 Many countries withoutprecious stone resources are among the world’s largest exporters ; their advanced technology, expertise and long history of processing has allowed them to capture enormousprofits through value addition.Exports of precious stones and jewellery experienceda slowdown in growth after the 2008 financial crisis. Thesector returned to stable growth in 2013, led by growingdemand from rapidly developing emerging markets. After2013, falling gold prices hurt export totals, as gold productsaccount for more than half of the sector’s value. The sector experienced a decline until exports stabilized at aroundUS 630 billion in 2015.600Source : Trade Map ( 2017 ).Figure 3 : Top 10 exporters in the precious stonesand jewellery sector ( US billions )100908070605040302010-Ho Swng itzKo erlng andUn (Chiite nadS )tatesIndiaUnited K UAing EdomChiBe nalgiumCanadaIsraelPhoto: ITCSource : Trade Map ( 2017 ).[ PRECIOUS STONES AND JEWELLERY : A BRILLIANT OUTLOOK AT THE GLOBAL LEVEL ]
4Figure 4 : Trade balance, top 10 importers of precious stones and jewellery, 2016 ( US billions Hong Kong, United States United ArabChinaof AmericaEmiratesImported value in 2016Exported value in 2016IndiaBelgiumGermanySingaporeTrade balanceSource : Trade Map ( 2017 ).In this section, the following top importers and re-exporters in the sector will be analysed in detail. They includeSwitzerland, Hong Kong ( China ) and mainland China, theUnited States, the United Kingdom, India and the UAE.SWITZERLANDSwitzerland is the largest exporter in the sector, with an exported value of US 98.5 billion in 2016. The country supplies clients in the United Kingdom, China, Hong Kong( China ), India, the United States and France. Diamonds,rubies and other precious stones in worked form ( polished and cut but not set in accessories ) contribute toSwitzerland’s world-leading export basket. With advancedcutting, polishing and trimming technologies, the countryexports semi-processed and processed precious materialsto worldwide markets based on market ties and trust established over many years. The majority of these materials arenot sourced domestically. The country instead imports themfrom worldwide markets to re-export after value addition.Because Switzerland lacks mineral resources but hasworld-leading technology, it is also the greatest importerof precious stones and jewellery, recording imports worth 100 billion in 2016. The main suppliers are the UAE, UnitedKingdom, United States, Hong Kong ( China ), France andThailand. The main import goods are raw and semi-processed precious metals and stones that undergo variousforms of value addition. At the same time, Switzerland is anattractive market for the sector, with high consumer demandfor luxury goods.Box 1 : SwitzerlandSwitzerland as a consumer marketThe Swiss precious stones and jewellery sector has a high-qualitybrand image. The price bracket, therefore, lies between mid-priceand premium. When it comes to fine jewellery, silver productsare preferred over gold. As gold and platinum are generally tooexpensive for the average consumer, demand has shifted to moreaffordable metals. Modern and contemporary designs are popularwith younger consumers. Diamonds are usually regarded as out
JEWELLERY SECTOR Revealing Afghan beauty to international markets AFGHANISTAN NATIONAL EXPORT STRATEGY - PRECIOUS STONES AND JEWELLERY SECTOR 2018-2022. ITC is the joint agency of the World Trade Organization and the United Nations. As part of
City Zip code Phone Country Email Mobile/Cell Homepage Fax company & address Retail Wholesale . Unique jewellery Design jewellery Silver jewellery Chain and strands Rough stones Semi-precious stones Jewellery accessories Pearls
jewellery in India" investigated that the consumers buying behaviour also shows a shift from content to design in jewellery i.e. fashionable jewellery. 4. Berad, N. R. et al. (2015) in their study "A comparative study on the consumer's preference towards branded jewellery over non branded jewellery in Nasik city" identified the factors
done, even if it is hard and makes us afraid. Courage is going ahead when we . Stepping Stones with Children 2016. (c) Salamander Trust 1 Handouts for Stepping Stones with Children This Handout for Stepping Stones with Children is to be used with the Stepping Stepping Stones and Stepping Stones Plus as well as Stepping Stones with Children
producing more than 40% of the UK jewellery output. Goldsmiths and silversmiths have been working in the area for more than 200 years, with the School of Jewellery founded in 1890. For most of its history the Jewellery Quarter was a closed community. here were no jewellery shops until the late 1970s when the economic recession prompted some of
Jewellery are the important part of the Indian culture. Hand jewellery specially plays very vital role in day to day lifestyle for women's. Therefore, to resolve this issue we have proposed our system, "Jewellery Try on Using AR," which will provide customers an idea of how that jewellery will look on them.
SCHOOL OF JEWELLERY 7 VITTORIA STREET Founded in 1890, the School of Jewellery is now part of Birmingham City University (BCU). It is the largest Jewellery school in Europe and ranks amongst the foremost institutions for teaching precious metalworking in the world he Atrium Gallery
Gold wedding jewellery designs catalogue pdf. Gold wedding jewellery designs catalogue with price. Best gold necklace design for wedding. Best gold jewelry designers. Best wedding gold jewellery. Polki stones have this crude appearance in them and therefore are on the expensive side as much as the value is worried. A wedding is the most .
Electromagnetic compatibility (EMC) of automotive components is measured according to CISPR 25, substituting the vehicle environment with line impedance stabilization networks (LISN). Recent research shows that LISNs, developed for low voltage networks, are not ideal to measure conducted emissions of high voltage (HV) components because of changed characteristic impedances and additional .
