Gem, jewellery export up a tad on rise in gold prices

Gem and jewellery exports experienced a slight increase last month, reaching $2.35 billion, a marginal rise from $2.34 billion in the same period last year. The primary reason behind this growth was the surge in gold jewellery shipments. However, when considering the value in rupees, the exports surged by 12 percent to ₹22,512 crore, up from ₹20,158 crore due to the depreciation of the rupee.

Overall, exports between April and July saw a 2 percent increase to $9.17 billion (₹87,078 crore). Gold jewellery exports rose by 9 percent in June to $1.04 billion (₹9,972 crore), fueled by robust demand from the UAE, Hong Kong, Singapore, and the UK. Conversely, the exports of cut and polished diamonds declined by 18 percent to $876 million (₹8,398 crore), while silver jewellery shipments decreased slightly to $77 million (₹736 crore).

Lab-grown diamond and coloured gemstone shipments also saw a decline of 8 percent and 5 percent year-over-year, respectively, amounting to $112 million and $21 million. Kirit Bhansali, Chairman of the Gem and Jewellery Export Promotion Council (GJEPC), stated that despite a difficult global scenario, gem and jewellery exports have demonstrated commendable resilience.

The improving gold prices are anticipated to bolster demand in key consuming markets. Bhansali also highlighted the significance of the recently introduced Taxation and Other Laws (Amendment) Bill 2026, which provides a 15-year income tax exemption to foreign companies dealing in rough diamonds through Special Notified Zones, thereby eliminating a long-standing structural constraint.

Gold jewellery exports grew by 6 percent to $4 billion (₹38,307 crore) between April and July, as opposed to $3.81 billion in the same period last year. Cut and polished diamond exports declined by 8 percent to $3.60 billion (₹34,172 crore), whereas silver jewellery exports surged by 72 percent to $508 million. Platinum jewellery exports increased by 17 percent to $78 million (₹738 crore) due to a surge in demand from the US, Switzerland, and Germany.

Polished lab-grown diamond exports rose by 7 percent to $408 million, driven by strong demand from Hong Kong, Israel, and Canada. Coloured gemstone exports, on the other hand, fell by 13 percent to $104 million (₹983 crore).