India’s gemstone and jewellery exports rose to US$1.76 billion in August from US$36 million in April this year as international markets gradually reopened for trade, the Gem & Jewellery Export Promotion Council (GJEPC) reported.

The council attributed this recovery to growing demand for diamonds and jewellery in the US, China and Europe. The August figure however represents a year-on-year decline of 41.55 per cent from US$3.02 billion in 2019.

According to GJEPC, cut and polished diamond exports in August fell 25.72 per cent to US$1.22 billion while imports increased by 58.12 per cent to US$179.19 million.

Colin Shah, chairman of GJEPC, commented, “We are optimistic about the near and long term as several countries are now open for trade. We have witnessed initial signs of recovery from the US, China, Europe and export orders have seen a steady rise month on month over the last four to five months.”

GJEPC said the drop in exports is expected to narrow to 20 to 25 per cent at the end of the fiscal year.

Exports of silver jewellery meanwhile grew by 74.61 per cent while those of platinum jewellery inched up 6.06 per cent.

India’s top gem and jewellery export destinations during the period in review were Hong Kong (US$2.72 billion), the US (US$1.74 billion), UAE (US$398.49 million), Belgium (US$258.82 million), Israel (US$167.12 million), Turkey (US$146.50 million), Thailand (US$110.72 million), the UK (US$72.94 million), Japan (US$64.17 million) and Switzerland (US$48.90 million).

“We are optimistic that we will have a decent recovery in gems and jewellery exports from current levels and that the overall gap in decline will be minimised,” continued Shah. 

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From April to August, overall exports of gemstones and jewellery were down 47.65 per cent year on year to US$6.01 billion.

Cut and polished diamond exports slid 41.42 per cent to US$3.94 billion while gold Jewellery plunged 70.61 per cent to US$850.59 million and coloured gemstones dropped 63.13 per cent to US$47.33 million.