Kochi: Muthoot Exim, a newly formed vertical of Muthoot Pappachan Group, Thursday launched 'Swarnavarsham' jewellery, enabling customers to purchase hallmarked 2-8 gm gold jewellery in tamper proof packaging, a first such in India, a company official said.
"The scheme allows customers who wish to purchase gold jewellery, by just paying small money upfront and balance in easy payment terms.
"The jewellery would be available at 'live pricing' allowing customers to benefit from the actual gold price as applicable at the time of booking and not a price fixed for the day," CEO Muthoot of Exim Keyur Shah said.
Products would be available from May 13 (Akshaya Tritiya) in 1,800 branches in Kerala and Tamil Nadu , which accounts for 40 percent of gold consumed in the southern states.
In Tamil Nadu, the quantity consumed is huge while Kerala accounts for highest per capital consumption of gold.
In the three-four months, Karnataka, Andhra Pradesh, Maharashtra, Delhi would be covered and by September- October, it would be launched all over India, Shah said.
Maintaining that their aim was not to become jewellers, but to plug the gaps identified, Shah declined to divulge the business they were targetting.
Muthoot Exim would become the first in India to offer tamper proof packaging for gold jewellery to assure highest standard of purity, he told reporters.
The current market size for gold sales in India was over Rs 2.50 lakh crore and only less than 10 percent is constituted from organised sector-- Rs 25,000 crore. Hence, there was a huge gap, he added.
The Swarnavarsham jewellery product line includes 22k hallmarked Gold chains weighing 4gm and 6 gm, Ear Rings weighing 2 gm and finger rings weighting 2 and 3 gm, bangles weighing 6 gm and 8 gm. The loan tenure would be from 12-24 months. The jewellery will be outsourced.
Executive Director of Muthoot Pappachan Group Thomas Muthoot said the jewellery is part of the group's strategy to offer value to customers, helping them own hallmarked pure gold jewellery in an affordable manner.
The group has its presence in automotive dealerships, hospitality, real estate, health care and alternate energy.