India's Gem and Jewellery Exports Demonstrate Remarkable Stability
India's gem and jewellery export sector has shown impressive resilience during the period from April 2025 to January 2026, maintaining broad stability despite facing significant global headwinds. The overall export figures reached $23.19 billion during these ten months, representing only a marginal decline of 0.64% compared to the $23.33 billion recorded during the same period in the previous financial year.
Mixed Performance Across Product Categories
The export landscape revealed a complex picture with varying performances across different product segments. Cut and polished diamond exports experienced a 7.46% year-on-year decline, settling at $9.97 billion. This decline was particularly noticeable in January 2026, when exports dropped by 3.64% to $979 million compared to $1 billion in January 2025.
In contrast, gold jewellery exports demonstrated strong growth, increasing by 5.53% year-on-year to reach $9.71 billion. Within this category, plain gold jewellery exports rose modestly by 1.57%, while studded gold jewellery exports showed more robust growth of 8.69%, reflecting higher demand for value-added products.
Silver and Platinum Jewellery Show Exceptional Growth
The most remarkable growth came from silver jewellery exports, which surged by an impressive 51.21% to $1.28 billion. This exceptional performance was driven by robust international demand and favorable silver price movements. Platinum jewellery exports also showed strong momentum, growing 49.09% to $215.15 million, supported by increasing acceptance in niche and premium markets alongside price appreciation.
Other segments presented mixed results. Polished lab-grown diamond exports declined 9.73% year-on-year in value to $923.62 million, despite significant increases in export volumes, indicating price softness in this emerging market. Coloured gemstone exports stood at $342.34 million, showing a marginal decline of 3.38% year-on-year, reflecting stable but subdued demand patterns.
US Market Challenges and Trade Deal Optimism
The export performance was significantly influenced by a sharp contraction in shipments to the United States, India's largest gem and jewellery export destination. Exports to the US declined by over 45% due to elevated tariffs and pricing disadvantages that created substantial headwinds for Indian exporters.
However, the recently announced framework for the India-US trade deal has brought much-needed relief to the industry. The revised 18% tariff on jewellery and zero duty on diamonds and coloured gemstones places India in a superior competitive position compared to key rivals across multiple product categories.
Industry Leadership Expresses Confidence
Kirit Bhansali, chairman of the Gem and Jewellery Export Promotion Council (GJEPC), emphasized the sector's underlying stability despite volatile global conditions. "India's gem and jewellery exports remained broadly stable during April-January, despite global headwinds, with a marginal decline underscoring the sector's resilience," he stated.
Bhansali highlighted the strategic importance of the India-US trade agreement, noting that "this advantage is expected to help Indian exporters regain lost ground in the US and rebuild trade, potentially adding up to $3 billion in the near term." He further expressed confidence that "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."
Market Diversification and Future Outlook
While exports to the United States faced temporary pressure, India successfully diversified its export markets, recording strong growth across several key destinations. This strategic diversification has helped cushion the impact of the US market contraction and demonstrates the industry's adaptability in challenging global conditions.
The combination of favorable trade terms, market diversification, and inherent industry resilience suggests a positive outlook for India's gem and jewellery export sector. As global economic conditions stabilize and trade relationships strengthen, the industry appears well-positioned to capitalize on emerging opportunities and drive sustained growth in the coming financial year.
