INTRODUCTION

• NIRALI CHHEDA (CEO)• YASH PALRECHA (Managing director)• PRASANT GHATAGE (Head Export)• PRAFULL CHAUDHARY (Head Retail Branding)• AMOL PHAONDKE ( Non- Active)

COMPANY OVERVIEW

Rajesh Mehta and Prashant Mehta joined their father's jewelry business in the year 1985 and with a modest investment in the year 1990 Rajesh Exports Ltd was formed.

Headquartered at Bangalore, India and in the year of inception the firm posted reasonable export sales of Rupees 24.7 million.

REL is the only Indian company to be recognized by Government of India as a “Five Star Export House” in the field of gold jewellery.

The Company’s manufacturing facility in Bangalore, spread over a 12- acre plot, uses advanced machines and laser technology.

In comparison to industry standards of 3%, wastage in processing of Gold, REL processes Gold at a wastage of 0.25%, resulting in huge cost savings. Hence, the company is known for World's lowest cost producer of jewelry.

Presently REL employs 725 skilled workers and 550 unskilled workers.

REL enjoys a negative working cycle (receives 240-day credit from its suppliers while selling on cash-basis to the customers).

In 2010, REL launched the “Retail Gold Revolution" in India.

REL offers more than 30,000 designs in its jewellery catalogue, the largest variety offered by any retailer in the world.

REL is India's largest exporter of gold jewellery (exports to over 20 countries worldwide) and contributes 40% share in gold jewellery exports from India.

The company has diligently built up some of the finest infrastructure and systems for the manufacture and marketing of gold jewelry.

A keen vision in the development of unique methods and systems for the manufacture and marketing of gold jewelry has placed REL ahead of other companies in the Indian and global gold industry.

Contd…

Awards and Achievements

Karnataka State Government Best Exporter Award for past 13 years (from 199 to 2010).

“Overall Excellence in the category of Gold Exports” Award by the “Gem & Jewellery Export Promotion Council” for 16 consecutive years (from 1994 to 2010).

Ranked as the ‘Second Fastest Growing Company’ in the Large Scale Sector in 2009.

Accorded as the “Jeweller of the Year” Award by Jewellers Association, Bangalore in 2009.

Awarded Gold Trophy for exports by Federation of Imports & Exports in 2008.

PRODUCTS

GOLD JEWELRY DIAMOND JEWELRY

GOLD JEWELRYGold Jewelry Product

Weight (gms) Styles & TypesDesign Portfolio

Target

Earrings 0.8 to 50 gms per pair Studs, hanging, bali, jumki 3000

Asian

Rings0.70 to 15 gms per piece

Machine cut, filigree work and meenakari work

2500

Pendants 0.7 to 15gms per piecePlain gold, meenakari,

studded 2500

Chains 2 to 120gms per piece Machine made & hand made 1500

Necklaces 8 to 55gms per piecePlain gold, meenakari &

studded1200

Necklace Sets

14 to 600gms per setPlain gold, meenakari &

studded3000

Bangles 8 to 120 gms per pairPlain gold, meenakari &

studded2000

Bracelets 4 to 90gms per piecePlain gold, studded, beaded

& linked1500

DIAMOND JEWELRYDiamond Jewelry Product

Weight (gms/cts/ cents) Styles & TypesDesign

PortfolioTarget

Earrings1.5 to 28 gms of 18 cts gold and from 2 to 100 cents

Stud Earrings, hoops, design, chandelier, drops, huggies.

274

USA, North America,

UAE, China,

Singapore& Indonesia

Rings1 to 15 gms of 18 cts gold and 1 to 125 cents

Stud with different cuts and shapes & designs.

246

Pendents1.5 to 15 gms of 18 cts gold and 1 to 80 cents

Stud with different cuts and shapes & designs like heart, star etc.

101

Bracelets5 to 45 gms of 18 cts gold and 9 to 150 cents

Tennis Bracelets, Diamond Bangles & Cuffs.

45

Necklaces Sets18 to 54 gms of 18 cts gold and 45 to 300 cents

Stud with different cuts and shapes & unique designs.

34

Technology & Manufacturing Process

Gold bullion & alloy heated to 1000 C

Molten Gold poured into cast to

produce rods

(B) Manual Process(A) Machine Chains (C) Casting Process

(A) Machine Chains (for standard gold chains of various designs)

Wires drawn from gold ingots

Wires then drawn using diamond dyes

Soldering of chain

Non-soldered chain is woven

Wires wound on spools & mounted

Chains without loops

Gold chains of

various sizes

Soldering of Loops

Quality check & delivery

(B) Manual Chains (for hand-made jewelry)

Wire drawing & stamping

Dye Cutting Soldering & Polishing

Design pieces with loose ends

Design fabrication

Quality check & delivery

(C) Casted jewelry (for plain & diamond jewelry)

Metal master & rubber bound making

Wax injection & spurring

Liquid gold injection

Burn out of wax

Investment casting

De-sprucing & initial polishing

Setting & final polishing

Quality check & delivery

CERTIFICATION

BIS hallmark: The BIS hallmark is a hallmarking system for gold jewellery sold in India

certifying to the purity of the metal. It certifies that the piece of jewellery conforms to a set of standards laid by the Bureau of Indian Standards, the national standards organization of India.

BIS hallmark for gold jewellery consists of several components: The BIS logo. A three digit number (out of a set of six pre-defined values) indicating the

purity of the gold in part-per-thousand-format viz; 958, 916, 875, 750, 585, 375. Thus a BIS 916 hallmark would certify to a purity of 916 per 1000, that is 91.6%, translating to a 22 carat purity of gold.

Logo of the assaying centre. A code denoting the date of hallmarking. Logo/code of the jeweler.

Hallmark Certificate.JPG

International gemological institute:

• The IGI Diamond Report is essentially a statement attesting to the authenticity of a diamond and provides a reliable and accurate report of its identity and grade based on an internationally recognized system. Each diamond is scientifically analyzed by several gemologists who use their experience in combination with state-of-the-art equipment to produce an accurate description of the characteristics of the diamond and the quality of its cut. With its detailed information presented in understandable language, the different qualities of a diamond can be truly appreciated.

• The grade or quality of a diamond is based on four characteristics commonly referred to as the 4Cs: the Carat weight, Color, Clarity, and Cut. These are analyzed and the results are recorded in the IGI Diamond Report.

• LASERSCRIBE (SM) Upon request, your diamond or colored stone is sealed in

a secure and tamper-proof container A miniature copy of

the IGI Report is enclosed within the seal, and is visible

from the back. Once opened, the IGI Seal will show a

chemically generated pattern, evidencing that the seal

has been opened.

for gem certi.jpg

United Arab Emirates (UAE) United States of America( USA)

Demand of gold

The per capita gold consumption in Dubai is the highest in the world.76 per cent of all residents own gold.

Demand for gold jewellery rose 29 percent according to the latest quarterly report from the World Gold Council (WGC)

USA accounted for 161 tonnes of gold in jewellery during 2012.

It is third largest consumption of gold jewelry followed by India & China.

Government Policies

According to the Gulf Cooperation Council (GCC) Customs Union, Gold in any form is exempted from Customs Duties.

The exporter is to have an appropriate Trade License issued by a Government Authority.

The US government has liberalized policy for the entering of foreign trade but have also many restrictions at the same time.

Complied with Kimberly Process.

Infrastructure Infrastructure in the UAE is extremely well developed following a period of rapid progress that saw the construction of residential, tourism, industrial and commercial facilities on a massive scale, radically altering the urban environment in the UAE.

Business Monitor International estimates that the UAE is currently investing Dh213 billion (US58 billion) on roads and bridges alone, including projects underway and in

the planning stage.

United States has an excellent infrastructure which is capable of supporting the needs of the economy.

Estimated investment by 2020 is around $3.6 million.

The American Society of Civil Engineers (ASCE) depicts the condition and performance of the nation’s infrastructure via Report Card & have Graded “D+”

FACTORS FOR MARKET SELECTION

Environment The United Arab Emirates, with its rapidly developing infrastructure, investor-friendly policies and political stability, is undoubtedly one of the most attractive business destinations in the region.Foreign investors have access to single window licensing services that promise quick turnaround in terms of registration and visa processing. Specialized zones for technology, media, education, healthcare, finance and others gives an added dimension to the trade and commercial environment.

The vast & varied geographical area has been a boon to US providing ample of natural resources. Being a developed country US has fully utilizes these resources for export and import of all kind of good.The foreign investors have to comply all the rules and regulations laid by the customs department for trading where one must be licensed recognized by their government.

Currency The official currency of the UAE is the dirham (abbreviated to Dhs or AED), with each dirham divided into 100 fils. The dirham is pegged to the US Dollar at the official exchange rate of Dhs 3.6725 to every US Dollar.

The official currency is referred to as the U.S. (sign: $; code: USD; also abbreviated US$ dollar or American dollar. It is divided into 100 smaller units called cents.U.S. dollar as the world's most stable currency & mostly used for international trading.

Trade Barriers

As a member of the Gulf Cooperation Council (GCC), the UAE applies the GCC common external tariff of five percent for most products, with a limited number of exceptions. According to the WTO, the UAE’s simple average applied tariff 4.7 percent for non -agricultural goods.

All goods that enter the United States are categorized in accordance with the provisions of the U.S. Harmonized Tariff Schedule (HTSUS).They charge 5% to 5.8% tariff or import charges on bullion in any form.

Relationship between Countries

Trading links between India and UAE have existed since long. Growing Indo-UAE economic and commercial relations contribute valuable stability and strength to bilateral relationship between the two countries. The UAE enjoys a broad and comprehensive economic relationship with the India, based on mutual interests.The notable reason of strong Indo-UAE economic ties is huge expatriate Indian population in UAE.

Trading links between India and usa have existed since long. Growing usa economic and commercial relations contribute valuable stability and strength to bilateral relationship between the two countries. The USA enjoys a broad and comprehensive economic relationship with the India, based on mutual interests.The notable reason of strong USA economic ties is huge expatriate Indian population in USA.

Population 9.206 million in 20122 million Indian expatriates currently live and work in the UAE, comprising more than 30 per cent of the national population and constituting the Emirates’ largest expatriate group.

313.9 million in 2012 making it third most populated country in world.Around 1% of population is Indians.

Standard of living

The UAE is an amazing amalgamation of the traditional values of the East and the modern technologies of the West and a melting pot of various nationalities and cultures living together and working in harmony.The UAE offers a standard of living that is comparable to the world's most advanced nations makes it one of 20th century's success stories. Along side that a literally crime-free environment makes the UAE one of the most attractive places to live.

United States is always in the top twenty, currently ranking 3rd by means of measures by UN Human Development.Per capita income is high but also less evenly distributed than in most other developed countries; as a result, the United States fares particularly well in measures of average material well being that do not place weight on equality aspects