Luxury Jewelry Industry ESG Thematic Report, 2023

Luxury Jewelry Industry ESG Thematic Report, 2023

Compliance, ESG Challenges & Framework, ESG Trends

  • Published Date: Nov, 2022
  • Report ID: Astra-100200
  • Format: Electronic (PDF)
  • Number of Pages: 67

Environmental, Social, and Governance (ESG) in the Luxury Jewelry Industry

In recent time investments are largely influenced by the Environment, Social and Governance policies due to their relevance among nations and businesses within the sustainability landscape.

The products of the luxury jewelry industry have high demand due to their applicability as fashion accessory. The products of the market are made of versatile combinations of materials, which are sourced from nature. These activities are influenced by a wide range of issues, which negatively impact the luxury jewelry market in the ESG landscape. Environmental degradation and water contamination, due to sourcing of raw material in environment are prevalent in the market.

Leading companies in the luxury market aim to reduce negative impacts caused by environmental and social issues by developing ESG programs and initiatives to operate sustainably.

ESG Trends

The luxury jewelry industry creates a negative environmental impact within ESG. The sourcing of materials for the products of the market.

Gold is one of the many raw materials used in products offered by the luxury jewelry market. Material sourcing for gold involves mining, which creates a significant negative impact on the environment. Gold is found to poison waters through chemical pollution of waterways where poisonous compounds like arsenic, lead, mercury, and acids are found.

According to a report, around 180 tons of chemical waste is dumped into the water bodies annually. A study in the U.S. found 74% of gold mines operating in the country polluted both groundwater and surface water. The contamination of the water bodies due to mining gold leads to acid marine drainage, which destroys aquatic life at a massive scale. The components of the acid marine drainage are mercury and other metals that cause significant impact to life below water. This negatively influences United Nations’ Sustainable Development Goal (UN SDG 14). It also can affect human health for those communities depending on these freshwater sources.

Leaders of the luxury jewelry market have taken up and promoted the sustainable material procurement policy as to reduce the adverse environmental impact. One of the key companies of the market has made strategy that deals with the sourcing of raw materials, such as gold and silver used in a wide range of their products, has made policies regarding supplier code of conduct and material sourcing policy, to bring more transparent, responsible sourcing and to trace the sourcing of material by mapping and taking due diligence. This can help prevent human rights violations in supply chains and ensure sustainable supply chains, thereby ensuring UN SDG 8: Decent Work and Economic Growth. Further they assess the suppliers through screening, desk assessment and through onsite assessment, their certifications by third party and has zero tolerance towards environmental degradation.

The key players of the luxury jewelry industry have taken up net zero emissions as to achieve the UN SDGs. One of the leading companies of the Market have made a policy regarding reduction of scope 1, scope 2 and scope 3 emissions by 2025. Further it aims to reduce the GHG produced from its global value by 42% by 2030.

Growth of the Luxury Jewelry Market

The Luxury Jewelry Market at global scale is valued around USD 37.4 billion as of 2020 and is forecasted to expand with a CAGR (compound annual growth rate) of 8.2% from 2021 to 2028. Although the industry has challenges in terms of environment pertaining to ESG, major leading players have taken up policies as to reduce the impact on the environment by aligning themselves with sustainable material procurement and OECD policies on sustainable material procurement.

Key Companies in this Theme:

    • Gucci S.p.A.

    • The Swatch Group Ltd.

    • Richemont

    • Tiffany & Co.

    • GRAFF

    • Louis Vuitton SE

    • Signet Jewelers Limited

Scope of the Luxury Jewelry Industry ESG Thematic Report

    • Macro-economic and ESG-variable analysis of the industry, including regulatory, policy, and innovation landscape

    • Key insights on infrastructure developments and ESG issues affecting the theme

    • Identify key initiatives and challenges within the industry

    • Identify ESG leaders within the industry

    • Understand key initiatives and the impact of companies within the sector to fuel an informed decision-making process

    • Analysis of industry activities based on multi-media sources, including significant controversies and market sentiment

Key Aspects of The Luxury Jewelry Industry ESG Thematic Report

    • Offers a global perspective of the luxury jewelry industry and the policies and measures taken by the players, for overcoming the challenges faced in terms of Environment, Social and Governance.

    • Key insights into the sustainability practices of major players in the market.

gvr icn


gvr icn

This Free Demo includes an overview of our proprietary ESG dashboard with industry & company benchmarking data, country performance, technological innovations, market estimates & forecasts. See for yourself!