Published by Jewel News Desk on
Key Highlights
- India’s gem & jewellery exports reached USD 27.72 billion in FY 2025–26
- Sector recorded 0.93% growth in rupee terms
- Silver jewellery surged 52.21%, fastest-growing segment
- Platinum jewellery grew 39.32%, gaining premium traction
- U.S. exports dropped 44.92%, while UAE, Hong Kong, Australia, and Canada grew strongly
- Industry signals a shift toward diversified, value-driven growth
India’s gem and jewellery export sector closed FY 2025–26 on a steady note, but the real story lies beneath the surface. While overall exports held largely stable, the year quietly marked a shift in how—and where—India is doing business globally.
According to the Gem & Jewellery Export Promotion Council (GJEPC), exports stood at ₹2,44,827.26 crore, reflecting a marginal 0.93% increase in rupee terms over the previous year. In dollar terms, exports were pegged at USD 27.72 billion, showing a 3.32% decline year-on-year.
On paper, the numbers suggest stability. In reality, they point to something more meaningful—a sector gradually reshaping itself amid global uncertainty.
A Year That Tested—and Reshaped—the Industry
The past financial year was anything but predictable. From evolving U.S. tariff structures to geopolitical tensions in West Asia, exporters had to navigate multiple pressure points at once.
Yet, rather than slowing down, many recalibrated.
Kirit Bhansali described the year as a phase of “structural reset,” with exporters consciously reducing reliance on a single dominant market and expanding into newer regions.
That shift is now visible in the numbers.
Where the Demand Is Moving
A closer look at key markets reveals a clear realignment:
- UAE: USD 8.70 billion (+10.52%)
- Hong Kong: USD 5.97 billion (+30.99%)
- USA: USD 5.08 billion (-44.92%)
- Belgium: USD 1.39 billion (+16.89%)
- Thailand: USD 675 million (+28.47%)
- Australia: USD 360 million (+38.33%)
- Canada: USD 319 million (+115.01%)
The contrast is hard to miss. While the U.S.—long a cornerstone market—saw a sharp decline, regions such as the UAE, Hong Kong, Australia, and even Canada stepped up with strong growth.
This is not a temporary shift. It signals a broader strategy taking shape—one that leans on diversification rather than dependence.
Diamonds Under Pressure, Value Segments Gain Ground
Diamonds, still the backbone of India’s export basket, had a challenging year. Cut and polished diamond exports fell 8.52%, impacted by tariff changes, inventory corrections, and softer global demand.
Gold jewellery, on the other hand, told a more nuanced story.
Overall exports remained largely flat at USD 11.36 billion, but within that:
- Plain gold jewellery declined, weighed down by high gold prices
- Studded jewellery grew 6.27%, driven by demand for design-led, higher-value pieces
It’s a subtle but important shift—consumers are not necessarily buying less; they are buying differently.
Silver and Platinum Emerge as Standout Performers
If there was one clear bright spot, it was silver.
Silver jewellery exports surged 52.21%, supported by rising affordability and growing appeal among younger and mid-market consumers.
Platinum, though smaller in scale, also made a strong statement with 39.32% growth, reflecting increasing traction in premium and niche segments.
Together, these categories hint at a broader diversification—not just in markets, but in product mix as well.
Lab-Grown Diamonds: Volume Up, Value Adjusting
Lab-grown diamonds continued to evolve as a category.
While export values declined 10.55%, volumes actually increased—pointing to ongoing price corrections in the segment. At the same time, jewellery studded with lab-grown diamonds saw strong growth of over 31%, indicating that demand remains intact, albeit in a different form.
A Sector Anchored in Strong Domestic Clusters
India’s export strength continues to be supported by its key manufacturing hubs.
The Western region, led by Mumbai, accounted for the lion’s share with exports worth USD 18.57 billion, while Gujarat remained a critical centre for diamond processing and manufacturing.
Looking Ahead: Trade Agreements and a Broader Base
With Free Trade Agreements already delivering results in markets like the UAE and Australia, the industry is now looking ahead to potential FTAs with the UK and EU.
If implemented effectively, these could further accelerate India’s shift towards a more balanced and resilient export ecosystem.
The Larger Takeaway
FY 2025–26 may not stand out for headline growth—but it will likely be remembered as a turning point.
A year where the industry:
- Reduced its dependence on a single market
- Strengthened value-added segments
- And quietly built a more diversified global footprint
In many ways, this is less about short-term performance—and more about long-term positioning.
