With a ₹1,000-crore jewellery ecosystem, over 450 retail outlets and a shared-ownership business model, Keralam-based Capstone is opening new growth opportunities for small and medium jewellery retailers.
India's gems and jewellery industry is undergoing a transformation. The market, valued at ₹8.14 lakh-crore in 2026, is projected to reach ₹12.45 lakh-crore by 2030. Gold jewellery continues to dominate with a 77.8% share, while diamond jewellery is emerging as a fast-growing segment, with an estimated annual growth rate of 7.4% between 2026 and 2033.
Organised jewellery retailers, which accounted for 20% of the market a decade ago, now command a 35-37% share. This is expected to increase to 43% by 2029. Smaller cities and towns are also becoming important growth centres.
These changing trends present opportunities for independent jewellery retailers. Abdul Gafoor Anadiyan, an entrepreneur from Kottakkal in Malappuram, has developed a distinctive business model to help them participate in this growth.
Through Capstone Ornaments Manufacturers Limited, he has created an integrated jewellery ecosystem encompassing manufacturing, design, branding and retail. The group, which includes Swa Diamonds and Mirror Diamonds, has a turnover exceeding ₹1,000 crore.
Gafoor's entrepreneurial journey began with a problem he observed in his father's jewellery business. His father, Marakkar Haji, often struggled to obtain sufficient jewellery stocks because traditional handcrafted ornaments took considerable time to manufacture. Recognising that other retailers faced similar challenges, Gafoor established Mughal Chains in 2002, when he was in his early twenties.
He imported jewellery manufacturing machinery from Japan, Germany, Italy and Switzerland, introducing machine-based production to improve efficiency, precision and quality. Mughal Chains soon became a trusted supplier to more than 200 jewellery retailers across South India.
In 2008, Gafoor took another major step by establishing Capstone, an advanced jewellery manufacturing facility at INKEL Business Park in Malappuram.
The 20,000 sq ft factory combines modern technology with skilled craftsmanship. Capstone also operates a 10,000 sq ft manufacturing facility in Mumbai and supplies jewellery to more than 650 retailers nationwide.
Its production capabilities include CAD, 3D printing and precision casting. The company manufactures 22-carat, 18-carat and 9-carat gold ornaments, platinum jewellery and natural diamond collections. KP Ajeesh, product and development director of Swa Diamonds, oversees manufacturing operations.
In 2019, Gafoor launched Swa Diamonds with the objective of making natural diamond jewellery accessible to a wider customer base.
The brand initially established 10 shop-in-shop counters within existing jewellery showrooms, allowing it to expand without relying exclusively on standalone stores.
Today, Swa Diamonds and Mirror Diamonds together operate more than 450 retail outlets across nine states--Keralam, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Maharashtra, Uttar Pradesh, Uttarakhand and Haryana.
Swa Diamonds also operates exclusive stores in major shopping malls. The company's broader ecosystem includes Vibe9, a 9-carat jewellery brand, and Onyx LLP.
Capstone's latest initiative is designed to bring jewellery retailers into the company's ownership structure.
Capstone Ornaments Manufacturers Limited became a public limited company in 2026 and invited retailers operating Swa Diamonds and Mirror Diamonds counters to acquire equity stakes. Around 150 jewellery retailers have joined as shareholder-partners.
The model goes beyond conventional supplier-retailer relationships. Participating jewellers gain access to Capstone's manufacturing capabilities, contemporary collections, branding and after-sales support while also holding an ownership interest in the company.
This arrangement is particularly relevant to smaller jewellers who may lack the expertise or infrastructure required to independently develop diamond jewellery collections.
For Capstone, partnerships with established local retailers offer access to new markets and existing customer networks.
The company aims to establish 100 exclusive stores and 1,000 shop-in-shop counters over the next three to five years. It also plans to pursue a stock market listing.
Gafoor believes changing consumer preferences will drive demand for lightweight, branded jewellery.
Customers increasingly prioritise certified quality, hallmarking, transparent pricing and trusted brands. Younger consumers, particularly Gen Z, are also seeking contemporary designs suitable for everyday wear.
Swa Diamonds offers natural diamond jewellery priced between ₹5,500 and ₹10 lakh, covering rings, earrings, necklaces, pendants, bracelets and other collections.
According to the company, its buyback policy offers 90% of the product's MRP, while exchanges are valued at 95%. It also provides a lifetime repair warranty.
Swa Diamonds attracted international attention by creating The Touch of Ami, a ring featuring 24,679 natural diamonds.
Developed in six months, the ring earned a Guinness World Record and became an important brand promotion tool.
The company also appointed Bollywood actress Preity Zinta as brand ambassador to strengthen its presence in North India.
Gafoor serves as chairman and managing director of Capstone, while his son, IIM postgraduate and gemmologist Mohammed Jameel Anadiyan, is the whole-time director.
With professional management, advanced manufacturing facilities and a growing network of retailer-shareholders, Capstone is positioning itself for its next phase of expansion.
Its shared-ownership approach offers an alternative growth model for independent jewellers navigating India's increasingly organised and competitive jewellery market.
