Not long after it bought a stake at Indian ethnic wear chain Fabindia, LVMH gears up for strengthening its presence in India by increasing its jewellery offer.

LVMH, which sells Dior, Zenith and Tag Heuer timepieces in India, plans to sell Bulgari and De Beers jewelleries in the country.

“Jewellery will come, I don’t know when, but in the short term,” said Franck Dardenne, newly appointed GM for the Indian business.

Acquired for US$5.2 billion in May last year, Bulgari was considered as one of the biggest acquisitions by LVMH in a decade.

Meanwhile, LVMH and De Beers have formed a joint venture since 2001. First store launched after its tie-up was in China last year.

De Beers is no stranger in India as its subsidiary Forevermark has been in Bangalore since January 2011.

Jewellery is India’s third largest luxury market segment following real estate and automobiles. According to Neelesh Hundekari, principal at AT Kearney, while the branded jewellery penetration in the luxury end is low, focus and concerted brand-building efforts could help achieve the same over time.

“The Indian jewellery market is huge, but it’s largely unbranded. The time will come when customers will look for branded jewellery like Bulgari,” said Dardenne.

LVMH thinks big in India. It will review business operations in the country once the foreign direct investment policy on single brand retail will be clarified particularly the local sourcing clause of 30 per cent.

GB