New Delhi [India], April 15 (ANI): India’s gem and jewelry exports declined in FY 2025–26 due to tariff-related uncertainties in key markets such as the United States, even as countries including the UAE, Hong Kong, Australia, and Canada posted strong growth, indicating a shift toward market diversification.
According to data released by the Gem and Jewellery Export Promotion Council, exports stood at $27.72 billion in FY26, registering a decline of 3.32 percent year over year. In rupee terms, however, exports rose marginally by 0.93 percent to Rs 2,44,827.26 crore, compared to Rs 2,42,559.39 crore in the previous fiscal year.
The decline was largely attributed to evolving tariff regimes in the United States, along with global inventory corrections, subdued discretionary demand, and increasing competition from alternative luxury segments.
Despite the overall drop, several markets recorded strong growth. Exports to the UAE grew more than 22 percent during April–February 2026, though full-year growth moderated to 10.52 percent due to emerging tensions in West Asia, with exports reaching $8.70 billion. Australia recorded robust growth of 38.33 percent, underscoring the role of free trade agreements in supporting export expansion.
Kirit Bhansali, chairman of the council, said the sector is undergoing a structural reset with reduced dependence on a single market.
“Exporters have actively diversified into new geographies, strengthened value-added segments, and adapted swiftly to evolving global trade dynamics,” he said.
Among product segments, cut and polished diamonds remained the largest category, contributing 43.9 percent of total exports at $12.16 billion, though declining by 8.52 percent year over year.
Gold jewelry exports remained largely stable at $11.36 billion. Within this, plain gold jewelry exports declined by 7.42 percent to $4.84 billion due to elevated gold prices, while studded gold jewelry exports grew by 6.27 percent to $6.52 billion, supported by demand for value-added products.
Silver jewelry exports posted strong growth, rising 52.21 percent to $1.47 billion, driven by affordability and increasing global demand. Platinum jewelry exports also increased by 39.32 percent to $254.60 million, reflecting growing traction in premium segments.
Polished lab-grown diamond exports declined by 10.55 percent to $1.13 billion, although volumes increased, indicating price corrections. Meanwhile, gold jewelry studded with lab-grown diamonds rose by 31.30 percent to $1,425.51 million.
Regionally, the western region led exports with $18,579.41 million, followed by Gujarat with $2,400.61 million. (ANI)
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