Sanket Patel is a highly accomplished professional with expertise in multiple industries, including diamond manufacturing, real estate, hotel management, and agrochemicals. With a track record of executing comprehensive business strategies that drive organizational growth, he is an invaluable asset to any company.
Currently serving as a partner at Greenlab Diamonds LLP, the world's largest lab-grown diamond manufacturer, Sanket brings a deep understanding of the industry and a strong commitment to innovation. His extensive knowledge of various fields, acquired from grassroots to corporate levels, positions him as a valuable resource for business development.
Sanket's qualifications include a business administration degree from the London School of Business & Finance, an international business degree from Bellerbys College in London, and a hospitality management degree from Auro University in Surat. With a focus on creating a work environment conducive to success and assembling high-performing teams, Sanket aligns with the Indian government's Make In India approach, investing in the growth of the diamond industry.
Driven by core values of innovation, integrity, and growth, Sanket is dedicated to achieving company goals. He possesses a diverse range of interests, including art, design, cars, travel, and culture, making him a modern renaissance individual who brings a unique perspective to the business world.
In an Exclusive Interview with Rough & Polished, Sanket Patel takes us through his journey in the LGD sector with extraordinary elan!
Some excerpts...
Please update us briefly about your family business in India? Is your family into Natural diamond manufacturing too or solely into lab-grown diamonds (LGDs)?
Our family diamond business in India has been a source of pride and heritage for several generations. We have a rich history in the diamond industry for 5 decades. Our ancestors began as diamond workers, traders and gradually expanded into the manufacturing sector.
Today, our family business is primarily focused on lab-grown diamonds. We recognized the potential of this emerging market early on and decided to shift our entire manufacturing process toward creating exquisite LGDs. While we still appreciate the beauty and value of natural diamonds, we firmly believe that lab-grown diamonds are the future of the industry.
Lab-grown diamonds are test tube babies for me. They are the result of extensive research and development. When I think about the ever-evolving diamond industry, I saw more challenges than opportunities. Gradually the challenges keep us making more perfect. I was excited to explore new ways for millenials like me to contribute to the industry. One area that caught my interest was industrial diamonds. We started receiving inquiries for them while we were still in the mined diamond sector. We weren't forced to start this business but rather saw it as a new and promising opportunity. Our family has a long history in the diamond business, starting with my grandfather Mr Manjibhai Patel.
The seeds of our innovative business were planted when I gave my grandfather some stones that turned out to be lab-grown diamonds. It was surprising because he had 50 years of experience in this sector and failed to recognize them as diamonds. This experience gave me and my team the confidence to research production, production costs, machinery, and other intermediates. With our existing experience in this sector, it was easier for us to seek guidance and support from experienced individuals. This knowledge and confidence continued to grow within us, motivating us to fully commit ourselves to this industry.
However, in recent years, we have also ventured into LGDs to meet the changing demands of the market and cater to those customers who prefer sustainable and ethical alternatives to natural diamonds. While natural diamonds are still the core of our business, we recognize the growing significance of LGDs in the industry and have embraced this new technology. Our aim is to offer a diverse range of diamond options to our valued customers, ensuring that we can cater to their individual preferences and choices and to reach the sparkling solitaire to every economic layer of society. Lab-grown diamonds offer incredible versatility in terms of customization and design. They can be created in various colors and sizes, allowing for more creative and unique jewelry pieces. This appeals to the modern customer who values personalization and individuality.
In short, I call it AFFINITY- AFFORDABILITY- ACCESSIBILITY.
Is your company Greenlab Diamonds involved in producing and manufacturing LGDs? Do you manufacture LGD jewellery as well? If not, any plans on the horizon?
Yes, we are a farm-to-shelf organisation. We grow diamonds in our state-of-the-art lab using sustainable and environmentally-friendly techniques. This unit is harnessed by renewable energy of 25 MGW solar power and 10MW hybrid wind power. In our lab, we employ cutting-edge technology and a team of skilled artisans to craft the finest lab-grown diamonds. We use advanced techniques to replicate the natural diamond growth process, resulting in diamonds that are chemically and visually identical to their natural counterparts. These LGDs possess the same exceptional brilliance, fire, and durability. Once the diamonds are grown, we have our own manufacturing unit where we carefully process and cut them to create exquisite pieces of jewelry. Our team of skilled craftsmen and designers work closely together with all the departments where the beautiful solitaire starts growing and processing to create unique and beautiful designs that showcase the brilliance and the natural beauty of our lab-grown diamonds.
In addition to our manufacturing unit, we also have a creative jewelry-making division. This division focuses on creating innovative and one-of-a-kind jewelry designs using our lab-grown diamonds. Our designers are constantly pushing the boundaries of traditional jewelry making, offering customers an exciting and unique collection of jewelry pieces.
Our commitment to sustainability and ethical practices goes beyond our diamonds. We also source our materials responsibly, ensuring that every piece of jewelry we create is not only beautiful but also environmentally conscious. We take pride in being a true farm-to-shelf company, where every step of the process is carefully controlled and managed by our experts. This allows us to maintain the highest standards of quality while bringing our customers stunning and ethically sourced diamond jewelry.
Give us more details of your production (LGDs) ... size, colour; distribution model, countries exported. Which do you think is the most promising market globally currently for LGDs?
Our production range varies from different shapes and carat.
Different color ranges from D to I and fancy colors like pink, green, blue.
The most promising global market for lab-grown diamonds is the United States. The US is currently the largest consumer of diamonds globally, and there is a growing demand for sustainable and ethically sourced diamonds in the country. As per the current report by GJEPC, the export value of polished LGD to the US for the period of April-June 2023 is 211.83 US $ Million. Lab-grown diamonds offer a more affordable and environmentally-friendly alternative to natural diamonds, which resonates with consumer preferences in the US. Moreover, the US has a well-established jewelry market and a large network of retailers, making it easier for lab-grown diamond companies to reach consumers.
With LGDs price dipping and production increasing by the day, what's the way to stay up in the market for LGDs? Will a step towards effective marketing and branding be the answer? Your opinion?
As a lab-grown diamond producer, I believe that effective marketing and branding certainly play a crucial role in staying competitive in this rapidly growing market. With the prices of lab-grown diamonds decreasing and production increasing, it is becoming essential to differentiate ourselves from other players in the industry. We believe that our diamonds should capture the essence of love which delight our customers. Building a brand identity around this concept will allow us to uniquely connect with our audience and create a lasting impression and generate interest in the product line. As diamonds are symbols of eternal love and commitment, our brand will shine bright and sparkle in the hearts of our customers, leaving a memorable mark on their lives. By emphasizing the emotional aspect of our diamonds, we can create a strong bond with our audience and establish ourselves as a trusted and desired brand in the market.
We have to target niche markets. While lab-grown diamonds are becoming more mainstream, there are still certain demographics that are more likely to be interested in these diamonds. By identifying these target markets, we can tailor our marketing campaigns to their specific needs and preferences. Leveraging digital platforms and social media channels can significantly enhance our reach and engagement with consumers.
We need to position ourselves as a premium and desirable option in the market. This can be achieved by focusing on aspects such as quality, craftsmanship, and technological advancements. By investing in advanced manufacturing techniques and ensuring that our lab-grown diamonds meet the highest standards, we can build a reputation for producing exceptional diamonds.
While Greenlab is a well-known company, the gift to the US President's wife by PM Modi has made it more popular. But, what is Greenlab's USP? What upcoming trends can new entrants invest in, given that product differentiations in LGDs are very few?
As aforementioned, ours is a family business. What is driving a family to success and happiness is their unity, trust, and love. Here in our business also we emphasize the same. Maybe the trust shall be termed as Transparency. I must say, transparency, traceability, and personalization is our simple principles. We ensure full traceability of diamonds, providing detailed information about their origin, manufacturing process, and quality. Transparency can build trust and attract customers who are concerned about the authenticity and source of their diamonds.
Greenlab can emphasize its commitment to sustainability and ethical practices in diamond production. We offer customization and personalization options, allowing customers to create unique and personalized diamond pieces. This can include customized shapes, sizes, colors, and even engravings, catering to individual preferences and providing a more exclusive experience.
Indeed, I won’t call this as any USP. It is an ethical business, so make it as green as it is. That is all.
Regarding upcoming trends and potential investments for new entrants in the lab-grown diamond industry, there are a few areas to consider:
Lab-grown diamonds have a significant advantage over mined diamonds in terms of producing large carat sizes. Investing in technologies and processes that enable the production of larger lab-grown diamonds can cater to customers looking for statement pieces or engagement rings with bigger stones. Colored diamonds, such as fancy yellows, pinks, or blues, are increasingly sought after by collectors and individuals looking for distinctive and vibrant gemstones. Developing new cutting and finishing techniques can enhance the brilliance, sparkle, and overall aesthetic of lab-grown diamonds. By investing in research and development to improve the faceting and polishing processes, new entrants can offer diamonds with exceptional fire and brilliance that stand out in the market. We always promote unique and exclusive collections incorporating our stones attracting fashion-forward and trend-conscious consumers.
The US market, which took to LGD diamond-studded jewellery enthusiastically now seems to be facing an overall slowdown. Which other global consumer market/s do you think is showing or may show high demand in the future? Any suggestions?
One potential market that could show high demand for diamond-studded jewelry in the future is China and India. Both nations have a growing middle class with increasing disposable income, and there is a cultural affinity towards luxury goods. The Middle East, such as the United Arab Emirates and Saudi Arabia, have traditionally shown high demand for luxury goods and may continue to be strong markets for diamond-studded jewelry. Ultimately, it would be best to conduct market research and consider various factors such as income levels, cultural preferences, and economic growth to identify potential markets with high demand.
What are the growth opportunities as well as challenges you foresee that might emerge for LGDs ... going forward?
I believe that the lab-grown diamond sector offers significant growth opportunities. One of the key growth opportunities for the lab-grown diamond sector is the increasing demand for sustainable and responsible luxury goods. This trend is especially prevalent among younger consumers, who prioritize sustainability and ethical sourcing. We keep checking the expiry date of each packet foods and related items. Why so? Because we do care about our health and well-being. Similarly, I believe it is important for our society to start caring about our ecosystem as well.
Over the years, the technology used to create lab grown diamonds has improved, resulting in higher quality and larger stones. Another growth opportunity lies in the expanding market for lab grown diamonds in industrial applications. Lab grown diamonds have unique properties, such as hardness and thermal conductivity, that make them highly valuable in various industries, including electronics, cutting tools, and even healthcare. As the demand for these applications grows, so does the market for lab grown diamonds.
Many leading jewelry brands and retailers are embracing lab-grown diamonds as a way to diversify their offerings and meet changing consumer demands. Collaborating with these established retailers can help lab-grown diamond companies gain market share and expand their reach.
One of the main challenges is consumer perception and education. Many customers are still unaware of the concept of lab-grown diamonds and may hold misconceptions about their quality, value, and ethical implications.
Competing within stones is the biggest challenge. Which means a thrive for more clean and clear stones from previous. Technological advancements and scalability are crucial challenges for our industry. Producing lab-grown diamonds at a larger scale to meet market demand while maintaining high quality and consistency requires continuous research and development of new manufacturing techniques.
Furthermore, pricing is a challenge as well. While lab-grown diamonds are typically more affordable, ensuring a fair and competitive pricing strategy while covering production costs is essential for long-term viability. As the lab-grown diamond industry continues to grow, it is important to have clear guidelines and standards to ensure transparency, consumer trust, and fair competition. These challenges require our industry to focus on education, innovation, collaboration, and ethical practices to navigate the future successfully.
Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough & Polished
