India's Diamond Jewelry Manufacturers Looking to Cut Gold Content as Prices Climb

The ever-increasing price of gold (the precious metal hit a record high on August 11, 2011) is prompting Indian jewelry manufacturers to seek ways of reducing the amount of gold used in diamond jewelry while retaining the jewels' look, feel, and value, the Business Standard reports.

While gold should comprise some 35% of a piece of jewelry's weight, some manufacturers have reduced gold use in their jewelry to as low as 12%.

The Standard quoted Vijay Jain of the Orra diamond jewelry company, who explained that the use of certain machines in manufacturing diamond-studded gold jewelry could reduce gold content by 10-15%. Jain also said that the machine-made jewelry was more durable and featured a better finish.