Page 22 - Bullion World Volume 02 Issue 08 September 2022

Bullion World | Volume 2 | Issue 09 | September 2022

In enabling the client to lend his gold and earn interest, true pan India jewellery company as we have delivered
we are awaiting regulatory clarity on certain issues. jewellery to customers in over 3000 towns and cities
across the length and breadth of the country in the last
Mr Sudheesh Nambiath: Aditya, what is the seven years. Beyond retailing, we deploy technology
connection between digital gold and what your extensively at the manufacturing end, at the design
company Rupeek does? Which regions are more and at the pricing end and across our value chain.
comfortable or tech-savvy?
We follow the ‘zero inventory model’. We manufacture
Mr Aditya Gupta, Rupeek: There is a bridge. Both as per customer order. So, in a way, every piece of
digital gold as well as companies such as Rupeek jewellery that we sell is custom-made. Also, while
seem to be focusing on building and setting up the hallmarking is mandatory only in 290 districts, we
gold monetisation infrastructure for the country in a deliver hallmarked jewellery to every part of India, even
holistic manner. Rupeek is the pioneer in the fintech though it is not mandatory in some places. So, we
space in asset back lending. Innovation in asset believe we are truly disrupting the jewellery retailing
back lending has been our focus since our inception. industry that we serve using technology and customer
Doorstep gold loan was our first product. Gold-backed insights.
credit card is another innovation. GTM, Digilocker http://goldconference.in/presentation/Day2/Saroja_
and BMPL schemes are coming up. There is a strong Yeramilli.pdf
synergy between what we try to achieve - formalising
credit access and monetising the asset and objectives Mr Sudheesh Nambiath: Digital gold has been
of digital gold. facing regulatory challenges in the last two years.
What do you plan to do in these situations?
In India, only about 10% of gold assets are leveraged
for credit. The adoption of gold-backed lending is still Mr Ketan Kothari: Regulation has been different when
nascent and growing. Rupeek is proud to say that it comes to gold. Some consider it as currency, some
we convert 60% of ‘new to gold loan’ category of consider it as a commodity. Regulations increase
customers. South is more amenable to asset-backed business, as it increases trust. With Electronic Gold
lending in terms of tech-savviness and readiness to Receipt, the way gold will be traded will change
monetise gold. North and West are showing a strong decisively.
upward trend. Some pockets of the East also are
growing. But the baseline case is different for different Mr Gaurav Mathur: We have to engage with the
regions. regulator. We have to be flexible, be able to change
with regulation. Also, have an active dialogue with the
Mr Sudheesh Nambiath: Saroja, how has the regulator and have an open mind.
journey been for you at Melorra, being an
e-commerce jewellery player? Aditya, do you face regulatory hurdles? How do
you manage risks especially when the space is not-
Ms Saroja Yeramilli, Founder regulated?
& CEO, Melorra: Thank you
for the invitation. We are one of Mr Aditya Gupta: Regulations have enabled
India’s top jewellery companies innovations at Rupeek. Regulations around lending
online. We started Mellora seven against gold in banks have been extremely enabling
years ago. E-commerce started in the space, for not only Rupeek but also for other
in 2008 in India. Over a period of companies. Regulations evolve to make it easier for the
time, despite challenges, it grew customers.
from strength to strength. Today, we have 300 million
online shoppers. By 2026, we will have 600 – 700 Mr Sudheesh Nambiath: Saroja, as a tech
million online shoppers. Covid was an unexpected company, Melorra is into AR/VR tech as well. In
boon from an e-com perspective, although it was a the process, companies are gathering a lot of
humanitarian disaster. Covid saw large-scale adoption private information about customers, do you see a
of e-commerce, especially in smaller towns and cities. regulatory challenge going forward?

The young demographic plus high gold consumption
lead to Mellora’s journey. We may be called the only

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