India's gems and jewellery sector faced a challenging December in 2025. Overall exports dropped by 4.98 percent compared to the same month last year. The Gem and Jewellery Export Promotion Council released these figures on Friday.
December Export Figures Show Decline
Exports reached $1,883.85 million in December 2025. That converts to approximately Rs 16,978.44 crore. In December 2024, exports stood higher at $1,982.62 million, which was about Rs 16,843.87 crore.
The broader picture from April to December 2025 shows nearly flat performance. Exports during these nine months totaled $20,751.28 million. This represents a slight decline of 0.41 percent from the $20,837.45 million recorded in the same period of the previous year.
Mixed Performance Across Product Categories
The industry demonstrated resilience through product diversification. Strong growth in jewellery exports helped offset weaker performance in other areas.
Gold jewellery exports dipped significantly by 16.31 percent in December 2025. They fell to $732.28 million from $875 million in December 2024.
Silver jewellery told a different story. Exports surged dramatically by 248.74 percent to $179.46 million. This compares to just $51.46 million in the same month of 2024.
Cut and polished diamonds showed modest growth of 2.7 percent in December. Exports reached $794.93 million against $774.02 million a year earlier.
Polished lab-grown diamonds experienced a decline of 2.56 percent. December 2025 exports stood at $82.87 million compared to $85.04 million in December 2024.
Geographic Shifts in Export Destinations
The United States market presented serious challenges. Exports to the US declined sharply by 44.42 percent during April-December 2025. Shipments fell to $3.86 billion from $6.95 billion in the same period last year.
December alone saw an even steeper drop of 50.44 percent year-on-year. GJEPC Chairman Kirit Bhansali expressed concern about this trend. "The US remains India's largest export destination," Bhansali noted. "It accounts for nearly 30 percent of our gem and jewellery exports. The sharp decline in shipments is a matter of serious concern."
Bright Spots in Alternative Markets
Other markets showed remarkable growth. Exports to the United Arab Emirates jumped 28.08 percent year-on-year during April-December. They reached $6.89 billion.
Hong Kong also recorded strong growth of 28.19 percent to $4.25 billion. Australia witnessed an impressive surge of 39.83 percent to $277.76 million.
Bhansali highlighted the importance of Free Trade Agreements in driving this growth. "FTAs with the UAE and Australia have come at a crucial time for the industry," he said. "Recent FTAs with the UK, Oman, New Zealand and others will further enhance competitiveness."
Industry Adaptation and Future Outlook
The near-flat overall performance indicates market stabilization. The industry has successfully adapted through strategic changes.
"This trend reflects the industry's ability to adapt through product mix optimisation, value addition, and diversified export destinations," Bhansali explained. He emphasized the role of FTAs in reducing duties and easing trade barriers.
Regarding the US market challenges, Bhansali remained hopeful. "Prolonged uncertainty around tariffs could adversely impact long-term viability," he acknowledged. "We have full faith in the government and remain hopeful that ongoing bilateral trade discussions will lead to a positive and timely resolution."
The government continues to negotiate multiple trade agreements. These efforts aim to open new markets and strengthen India's global position. The industry expresses confidence in maintaining its quality, value, and trust reputation worldwide.
