Jewelry Business Articles & News

Hong Kong: Quality, design diversity

Hong Kong: Quality, design diversity
Global Sources, Singapore 

Well-established factory management systems, an emphasis on quality and fast development time have made Hong Kong one of the most prominent sourcing centers for costume jewelry.

Currently the world’s largest exporter in the line, Hong Kong shipped more than $6 billion worth of costume jewelry in 2005. Outbound shipments have grown by more than 25 percent in each of the past two years. The US is the biggest market, followed by the EU, Japan and Taiwan.

There are about 70 manufacturers in the SAR alone, not including companies with production facilities located in parts of mainland China. Makers are mostly privately owned, small and midsize, and with direct export capability.

As with many Hong Kong industries, most suppliers have already transferred manufacturing to nearby cities in the mainland, including Dongguan, Shenzhen and Panyu. Only design development, sampling, sales and marketing personnel remain in the SAR.

This migration seems to have had no ill effects on the industry. In fact, having factories in the mainland has helped manufacturers obtain raw materials easily. The lower operating costs there have also allowed makers to increase investment in high-tech machines and production technology.

Many costume jewelry suppliers in Hong Kong are now equipped with advanced mold-making, die-casting, polishing and electroplating machinery. Modern equipment helps in producing more elaborate finishes and models that are consistent in terms of size and quality specifications.

A number of companies have also incorporated production techniques such as electroforming with handiwork to enhance efficiency.

Some makers have invested in ERP software to integrate all aspects of production from accounting to shipment. Companies are also boosting efforts to improve management systems, thereby enhancing quality and minimizing costs.

In addition, Hong Kong costume jewelry suppliers benefit from an experienced workforce. Many of these makers’ factories have well-trained workers who need minimal supervision in handling manual tasks and operating high-tech machinery.

Add comment September 8th, 2006

Parent Firm of Boston, Richmond Jewelry Stores Files Chpt. 11

Parent Firm of Boston, Richmond Jewelry Stores Files Chpt. 11
Diamonds.net, NY

The parent company of Boston jeweler  Shreve, Crump & Low –Tyringham Holdings Inc.– blames high remodeling costs and the jewelry store’s relocation  for a decline in  business for which it was forced to file Chapter 11 on September 6.

Tyringham also owns the Schwarzschild Jewelers chain in the state of Virginia, which consists of three store locations in the Richmond area.

Prior to Christmas season 2005, Tyringham invested more than $7 million to relocate and remodel one of two  Shreve brand stores. The store also  commissioned a hand-made Steuben sculpture for a central design element.  Revenue fell some $1.5 million following the move. Tyringham’s 2005 revenue clocked in at $31 million, down 26 percent from year 2000, and net losses came in at $9 million, up from $648,000 in year 2003, according to court papers.

Court documents list assets at $24.8 million and liabilities at $24.3 million.

Tyringham has been soliciting bids for both chains and allowed four companies to conduct due diligence in 2006. Tyringham reports having signed “a pact” with  Carlyle & Co. Jewelers of North Carolina, following a $9.8 million proposal to buyout only the  Schwarzschild chain. 

Add comment September 8th, 2006