Diamond Ring Pricing

Pricing diamond rings in India can be viewed as an interesting exercise in statistical modelling. The price equals the current market value of the gold content of the ring, a craftsmanship fee plus the cost of the diamond. The price of a diamond depends upon the four Cs: caratage, cut, colour and clarity. For jewelry intended for the mass market it can be assumed that the major factor in determining price is the caratage, i.e. the size of the diamond.