Turkish jewellery and mounting companies are expanding their production capacity to drive growth despite geopolitical uncertainties and soaring gold prices.

According to Sirzat Akbulak, manager of Jewellery Exporters’ Association of Türkiye (JTR), Türkiye is aiming to achieve USD$10 billion in jewellery exports by the end of 2025, depending on economic and geopolitical stability. To support this goal, the country is further strengthening its jewellery production capacity, starting with an expansion of the Kuyumcukent complex (aka jewellery city) in Istanbul, which currently spans over 250,000 m². Three new production complexes will be added to the facility. “This will potentially double the total production capacity,” Akbulak revealed.

However, Turkish jewellers continue to face challenges due to rising gold prices since 2024, which have led to an increase in raw material costs. Furthermore, pricier gold is also affecting buyers’ preference. 

“There is growing interest in lower-karat gold jewellery and affordable pieces featuring lab-grown diamonds for everyday wear,” explained Akbulak. “But natural diamonds will always have their own unique place in the market. We are witnessing a rise in demand for certified products.”

He also underscored the impact of geopolitical tensions on demand for jewellery. “Demand from countries like Russia, Ukraine, Syria and Iraq might pick up after a potential peace agreement. Meanwhile, South America has shown great interest in Turkish jewellery. Southeast Asia, particularly Indonesia and Singapore, are also promising markets,” he added.