India’s gem and jewellery exports remained broadly stable during April 2025–January 2026, reflecting resilience amid global trade headwinds and tariff-related pressures in key markets.

Overall gross exports stood at US$ 23.19 billion (Rs.2,03,280.72 crore), registering a marginal decline of 0.64% in dollar terms while growing 3.57% in rupee terms, compared to US$ 23.33 billion (Rs.1,96,277.49 crore) recorded during the same period last year. This performance underscores the sector’s underlying stability despite volatile global conditions.

The export outcome was significantly influenced by a sharp contraction in shipments to the United States, India’s largest gem and jewellery export destination, where exports declined by over 45% due to elevated tariffs and pricing disadvantages. However, the recently announced India–US trade deal, which restores tariff access for gems and jewellery at 18%, is expected to be a major inflection point. The tariff rollback is projected to lift India’s gem and jewellery exports by up to US$ 3 billion in the near term, driven by renewed price competitiveness and trade re-creation.

Even as exports to the US faced temporary pressure, India successfully diversified its export markets, recording strong growth across several key destinations. During April 2025–January 2026:

• Exports to the United Arab Emirates grew 23.71%
• Hong Kong rose 33.5%
• Australia and France posted robust growth of over 36% each
• Other markets such as Belgium, Thailand, and Israel also recorded double-digit growth

This demonstrates India’s expanding global footprint and the industry’s ability to adapt to shifting trade dynamics.

Shri Kirit Bhansali, Chairman, GJEPC, said:“India’s gem and jewellery exports have remained broadly stable during April–January at US$ 23.19 billion, despite global headwinds, with a marginal decline in dollar terms and positive growth in rupee terms underscoring the sector’s resilience. The announcement of the framework for the India–US trade deal has brought much-needed relief.

The revised 18% tariff on jewellery and zero duty on diamonds and coloured gemstones will place India in a structurally superior position over key competitors—across diamonds, coloured gemstones and studded gold jewellery.

This advantage is expected to help Indian exporters regain lost ground in the US market and re-create trade, potentially adding up to US$ 3 billion in the near term. Supported by market diversification and a strong pipeline of trade agreements, the industry is well positioned for recovery and sustained growth in FY 2026–27.”

He further added:

“This outward-looking trade strategy has been strongly complemented by domestic reforms. Union Budget 2026–27 is highly positive for the gem and jewellery sector, with a clear focus on ease of doing business, customs reforms, faster clearances and improved access to finance. Measures such as digital appraisals, advance filing of Bills of Entry, concessional SEZ-to-DTA sales and targeted MSME support will reduce costs, improve cash flow and strengthen export competitiveness.

Overall, the Budget lays a solid foundation for growth, job creation and export expansion, aligned with the sector’s long-term vision of achieving US$ 100 billion in exports by 2047.”

Segment-wise Performance (April 2025–January 2026)

• Cut and polished diamonds: US$ 9.97 billion, down 7.46% year-on-year
• Total gold jewellery exports (plain and studded): US$ 9.71 billion, up 5.53% year-on-year
• Plain gold jewellery: up 1.57%
• Silver jewellery: US$ 1.28 billion, up 51.21%, driven by strong international demand and higher silver prices

• Platinum jewellery: US$ 215.15 million, up 49.09%, supported by growing acceptance in niche and premium markets and price appreciation
• Polished lab-grown diamonds: US$ 923.62 million, down 9.73% in value, despite significant volume growth, indicating price softness
• Coloured gemstones: US$ 342.34 million, down 3.38%, reflecting stable but subdued demand

The overall performance highlights the sector’s resilience, strengthened by market diversification, supportive trade agreements, and reform-oriented domestic policy measures.

source:GJEPC