India's gem and jewellery exports surge 24% in February

By

Isabelle Crossley

Published
Mar 10, 2023

February saw India’s gem and jewellery exports surge by 24% year-on-year to total Rs 28,832.86 crore. The strongest growth was reported by the plain gold jewellery category which saw exports grow by 45% year on year in February, 2023. 

Cut and polished diamond exports from India increased by 32% year-on-year in February, totalling Rs 19,582.38 crore, the Gem and Jewellery Export Promotion Council reported on its website. Studded gold jewellery witnessed 19.78% growth during the same time period to total Rs 3,225.51 crore. 
 
“GJEPC is excited about the strong pace of demand observed by Indian exhibitors at the recent Hong Kong show, which revealed the untapped demand in the Chinese market,” said GJEPC chairman Vipul Shah, the GJEPC reported. “In February 2023, India experienced a noteworthy 32% surge in cut and polished diamond exports, which can be partly attributed to the strong demand from China and the Lunar New Year festivities. Additionally, thanks to the forward-thinking CEPA deal signed with the UAE, there was an equally impressive 45% increase in plain gold jewellery exports, indicating that the Middle East market is rebounding strongly after a slight dip. Furthermore, studded gold jewellery, which is primarily exported to the US, is also showing a promising improvement of around 20%.”

Although the past few months saw a dip in the Hong Kong market, the GJEPC is seeing an increase in sales in the area, along with a wider resurgence in Chinese consumption. “In China, the average savings rate is around 40%, which translates to trillions of dollars that could potentially be spent in a ‘revenge buying’ frenzy, similar to what we've seen in other world markets after prolonged lockdown periods,” said Shah. “As a result, we anticipate significant growth in the diamond and diamond jewellery industry over the next six months.”