Hyderabad|India|June'2012: Alpari Financial Services (India) will be offering SMEs/Corporate Advisory Desk at the Hyderabad Jewellery Fair 2012 at HITEX exhibition centre from 22nd to 24th June to various industrial houses and SMEs having an exposure to currency risks. This will greatly benefit Gems & Jewellery industries in curtailing the risks involved due to their currency exposure, both while importing and exporting in the wake of huge volatility in the Rupee.

Volatility in Rupee in the last 3-months has been impacting almost every industry in India. Most of the Gems & Jewellery businesses that are dealing in International boundaries and transact in Dollars have not only been cautious but also uneasy due to Rupee volatility.

Mr. Pramit Brahmbhatt, CEO, Alpari Financial Services (India) said, “Rupee volatility has been a huge concern especially for the gems & jewellery industry in India due to their exposure and dependency upon dollar for international trade. Currency trading through various exchange-traded products in India provides a brilliant opportunity for the businesses to hedge their currency risks and prevent losses that may occur due to the fluctuation in currency rates. Global uncertainties in the recent times has also fuelled currency volatility impacting the business margins. We at Alpari can help such businesses in taking informed decisions and guide them in reducing their losses due to currency fluctuations.”

If one looks at the classic case of the Diamond Industry, which imports raw stones from abroad and makes payments in Dollars and after polishing they are again exported to different countries to receive payments in Dollars. They take a hit when they take advance at the ongoing rate and booking Rupee loses as the Dollar appreciates at the time of delivery/shipments. And a similar situation may arise while exporting when Rupee depreciates. A timely hedging of currency exposure could have helped them tremendously.

Everyone including a manufacturer, importer, exporter, agent, wholesaler and/or retailer takes a hit in some form or the other due to the currency fluctuation.

-June 2012