Türkiye’s jewelry sector delivered a standout performance in the first quarter of 2025, with exports soaring 72.1% year-on-year to reach $2.5 billion. This surge far outpaces the country’s overall export growth of 2.5% for the same period, highlighting jewelry as a key driver within Türkiye’s export portfolio.

Gold Dominance: Of the $2.5 billion total, jewelers’ gold products accounted for $2.1 billion, underscoring gold’s central role in Türkiye’s jewelry export mix.

Other Segments: Unprocessed or semi-processed gold contributed $347.3 million, while silver jewelry and unprocessed silver added $90.4 million and $31.7 million, respectively. Exports of precious-metal-plated products, cultured pearls, and semi-precious stones, though smaller in value, round out the sector’s diversity.

Price Effect: The sharp rise in gold prices over the past year has significantly inflated export values, benefiting revenue even as volumes may fluctuate.

United Arab Emirates (UAE): The UAE remains Türkiye’s top jewelry export destination, absorbing $1.2 billion—nearly half of total sector exports. This reflects both direct demand and the UAE’s role as a regional trade hub.

Other Major Markets: The United States ($199.5 million), Switzerland ($181.5 million), Hong Kong SAR ($128 million), and Mexico ($92.6 million) are also significant, with notable growth in shipments to Switzerland, Kyrgyzstan, and Libya.

Regional Production Hubs: Istanbul leads with $1.9 billion in exports, followed by Çorum ($646.1 million), demonstrating the sector’s geographic concentration and specialization.

Türkiye’s jewelry export surge in Q1 2025 highlights the sector’s resilience and strategic importance to the national economy. Continued access to raw materials, strong regional partnerships, and the ability to adapt to market trends position Türkiye to maintain its momentum. However, the sector must navigate price volatility and global competition to sustain growth in the coming quarters.

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Türkiye’s jewelry industry has leveraged favorable gold prices, policy adjustments, and robust trade networks to deliver exceptional export growth in early 2025. As global demand and commodity prices remain dynamic, the sector’s agility and focus on high-value markets will be crucial for continued success.

In 2024, Gemfields, confronted a series of compounding challenges that culminated in a staggering financial loss of $100.8 million. The UK-based company, long regarded as a major player in the global gemstone industry, is now grappling with the harsh realities of volatile market conditions and operational disruptions. In response, it has announced a $30 million rights issue as part of a broader effort to stabilize its financial footing.

Gemfields’ financial downturn reflects a sharp contrast to the previous year, when it reported a comparatively modest loss of $2.8 million. The shift underscores the unpredictability of the global gemstone market, particularly in 2024, which CEO Sean Gilbertson described as more challenging than we could have anticipated. Several factors contributed to this decline, including an oversupply of emeralds from a Zambian competitor, lower-than-expected yields of premium rubies at the company’s Montepuez mine in Mozambique, and a notably weak demand for gemstones—especially in the Chinese market.

Operational setbacks have further compounded Gemfields’ difficulties. In December 2024, the company made the difficult decision to suspend mining operations at its Kagem emerald mine in Zambia for up to six months. Around the same time, civil unrest forced a temporary closure of the Montepuez ruby mine. With these interruptions, Gemfields has been left relying heavily on processing pre-mined stockpiles to maintain any semblance of production continuity.

Total revenue for 2024 dropped to $213 million, a 19 percent decline from the previous year. This dip is largely attributed to the weakened demand for emeralds in the second half of the year and a reduced supply of premium rubies. Gilbertson acknowledged that while the company’s original growth plans did not anticipate requiring additional capital from shareholders, the unprecedented convergence of challenges has necessitated a strategic recalibration.

Gemfields’ journey through 2024 serves as a potent reminder of the fragility of even the most established enterprises in the face of global economic uncertainty and geopolitical instability. As the company prepares for its next chapter, its ability to adapt, invest wisely, and rebuild investor confidence will be critical to securing its future in the highly competitive gemstone industry.

There was a modest decline in gold prices during the early European trading session on Friday. Following a sharp rally that saw the precious metal reach an all-time high of $3,358 per ounce, the price of gold has edged lower, largely attributed to profit-taking behavior by investors ahead of the long Easter weekend.

Despite this short-term dip, several underlying factors continue to reinforce gold’s appeal as a safe-haven asset. Foremost among these is the growing uncertainty surrounding U.S. trade policy, particularly with regard to import tariffs proposed by President Donald Trump. Additionally, broader concerns about a potential recession and persistent geopolitical tensions add to investor unease, prompting many to maintain positions in historically secure assets like gold.

Meanwhile, the trajectory of U.S. monetary policy remains a key influence on gold prices. Federal Reserve Chair Jerome Powell has recently adopted a more hawkish tone, signaling diminished prospects for a rate cut in June. This shift suggests a tightening of monetary policy, which could strengthen the U.S. dollar and, in turn, place downward pressure on gold, which is priced in USD. Powell’s comments also underscore the challenging balance the Fed faces: while inflation remains elevated, economic growth appears to be softening—conditions that could give rise to a stag-flationary scenario.