As Rolex is poised to boost production to meet demand globally, clients of the brand are hopeful the supply situation will soon return to normal. But a study published last week by Deloitte tells a different story: an emerging market is likely to sap Rolex's availability further.
India's rapidly growing economy is driving an expansion of the middle class and a demand for aspirational products, like Swiss watches, the Deloitte report said. That potential has now been enhanced by a new trade agreement between Switzerland and India which will provide “a competitive advantage” for many years, according to Swiss Economics Minister Guy Parmelin.
The new trade agreement will improve market access for Swiss watches by gradually reducing custom duties over seven years.
Last year, Coronet wrote an in-depth story about India, whose economy has now surpassed Britain’s. India is the home of only two dozen Rolex authorized dealers, while the U.K. has nearly 100 Rolex boutiques with less than 5% India's population.
When asked for comment, a Rolex press relations specialist in Geneva told Coronet the brand is monitoring the situation in India.