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VAJRA INDUSTRY RESEARCH AND ACADEMIC MEET (VAIRAM) 2025 organised by GJEPC, IIT Madras inaugurated in Chennai

The Vajra Industry Research and Academic Meet (Vairam) 2025, a joint effort by GJEPC and InCent LGD IIT Madras, was officially introduced at the IITM Research Park in Chennai.

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Madras at IITM Research Park, Chennai, was unveiled by Prof. V Kamakoti, Director, IIT Madras, Prof M S Ramachandra Rao, InCent-LGD, IIT Madras, Mr. Manish Jiwani, Co-Convener, LGD Committee, GJEPC and Mr. Sabyasachi Ray, Executive Director, GJEPC among other dignitaries and industry experts.

The workshop features several panel discussions. “Beyond Gems: Next-Generation Applications of OLab-Grown Diamonds” explores LGDs’ potential in various industries beyond jewellery. “Lab-Grown Diamond Growth and Treatment Recipes and Challenges” delves into the intricacies of CVD and HPHT methods. “Diamond Quality Checks and Certification” addresses the crucial need for standardised quality control for gems, jewellery, and seeds. “Lab Grown Diamond Machines and Processing Equipment” will highlight the importance of indigenous equipment manufacturing to bolster India’s self-reliance. The workshop has drawn 150 + participants from the industry.

Key Takeaways

Diamond Quality Checks & Certification:

  • Advanced treatments challenge LGD grading and certification accuracy.
  • Key challenges: ensuring grading accuracy, standardization, and detecting undisclosed synthetics.
  • Emphasis on advanced testing methods, tech-driven grading, and industry consistency.
  • Traceability of tested items is a major issue.
  • LGDs are both supplementary and complementary to the diamond industry.
  • Mimicking natural diamond growth patterns in LGDs remains a challenge.

LGD Growth & Treatment Recipes: Key Takeaways

  • Increasing nitrogen in HPHT accelerates growth, benefiting gem-quality diamonds but not other industrial uses.
  • Focus on optimizing growth parameters, impurity control, and enhancement for superior diamonds.
  • Challenges include consistency, reducing defects, scalability, and reliance on high-purity raw materials.
  • Future focus on refining processes, improving sustainability, and enhancing research-industry collaboration.

Diamond Quality Checks & Certification (Continued): Key Takeaways

Strengthening quality assurance frameworks is essential to ensure consumer trust globally.

Grading LGDs differs from natural diamonds, especially in color; secondary reference masters needed.

Labs must assess hue saturation and intensity, not just color for LGDs.

Clarity characteristics differ due to metallic inclusions in LGDs.

Color grading challenges arise in borderline clusters where AI struggles.

LGDs are cut for perfection, unlike natural diamonds, which are cut for weight retention.

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National News

Correction In Gold Prices Prompts Margin Calls On Some Bullet‑Repayment Gold Loans

NBFCs, Have Started Shifting Toward EMI Based Gold Loan Products To Reduce LTV Vulnerability

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A sharp correction in gold prices over recent months has prompted margin calls on some bullet‑repayment gold loans, while EMI (regular‑instalment) loans have stayed largely insulated; this dynamic and recent RBI rules (effective April 1, 2026) have pushed non‑bank lenders to migrate toward EMI‑based products to reduce future margin‑call risk.

Bullet loans keep principal outstanding until maturity, so a fall in gold’s market value raises the loan‑to‑value (LTV) ratio quickly and can trigger margin calls or demands for extra collateral; lenders have invoked margin calls in some cases as prices fell over five months.

EMI loans reduce outstanding principal every month, creating an equity cushion that buffers the borrower against modest price corrections and so have remained largely unaffected in the recent correction.

Market participants attribute the correction to geopolitical events and renewed concerns about interest‑rate trajectories, which reduced safe‑haven flows and weighed on prices.

Key elements of the new RBI gold‑loan framework (effective April 1, 2026)

  • Tiered LTV caps: 85% for loans up to Rs 2.5 lakh, 80% for Rs 2.5–5 lakh, and 75% above Rs 5 lakh. This standardises collateral limits across lenders.
  • Requirement that borrowers repay principal and interest within 12 months (ending the widespread practice of rolling by paying only interest) and stricter auction/valuation and borrower‑protection rules (30‑day average or previous‑day price for valuation, faster release of gold on closure, mandated disclosures, auction reserve pricing rules).
  • LTV for bullet loans must be calculated on the total amount repayable at maturity, which makes bullet structures less attractive under the new framework.

Industry response and product shift

  • Non‑bank lenders (NBFCs, smaller finance companies) have started shifting toward EMI‑based gold‑loan products to reduce LTV vulnerability and margin‑call exposure, and to align with RBI’s consumer‑protection and repayment‑discipline aims.
  • Lenders say they can manage risks on short‑term loans and through active LTV monitoring, but the structural incentive now favours EMI schedules because they steadily reduce outstanding balances.
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