As the industry enters 2026, the outlook is one of disciplined optimism anchored in wider market access, writes Kirit Bhansali, Chairman, Gem and Jewellery Export Promotion Council (GJEPC)
The year 2025 tested the Indian gem and jewellery industry on multiple fronts, even as it strengthened the sector’s long-term foundations. It reinforced a fundamental reality of global trade: markets are never linear. Demand moves in cycles, consumer sentiment evolves, and geopolitical and policy developments can alter trade flows with little warning. For the industry, 2025 became a year of rapid adaptation, marked by recalibrated expectations, strategic course correction and a renewed focus on resilience.
Traditional demand centres showed signs of fatigue. The United States, long the anchor market for Indian gem and jewellery exports, adopted a more cautious stance amid tariff hikes and a more protectionist trade environment. These developments exerted pressure on margins and temporarily slowed order flows, particularly in diamonds and studded jewellery. China’s recovery remained uneven, with retailers maintaining lean inventories and disciplined buying patterns. Exporters were therefore required to navigate a phase of restrained demand and heightened buyer scrutiny.
Yet, as 2025 draws to a close, the resilience of India’s gem and jewellery industry is clearly evident. Strategic diversification and market expansion have played a decisive role in cushioning external shocks. This strength is reflected in export performance for April–November 2025, during which India’s gem and jewellery exports stabilised at US$ 18.87 billion, registering marginal year-on-year growth of 0.07% compared to US$ 18.85 billion in the corresponding period last year. In a volatile global environment, this stabilisation underscores the sector’s ability to absorb shocks and maintain momentum.
This outcome was not incidental. It stemmed from a sustained, GJEPC-led strategy initiated years ago to reduce over-dependence on traditional markets and build a broader, more resilient export base. Indian exporters focused on geographic diversification, product adaptation and deeper buyer relationships in Latin America, Southeast Asia and the Middle East.
The Number Game
The results of this geographic expansion are evident. During April–November 2025, exports to the UAE rose by a robust 32.4 per cent to USD 6.25 billion, while Hong Kong recorded growth of 22.72 per cent to USD 3.78 billion. Other markets such as Australia (35.79 per cent), Thailand (16.85 per cent) and Israel (10.45 per cent) also contributed meaningfully, reinforcing the effectiveness of India’s long-term market diversification strategy.
This expansion has been supported by sustained outreach under the brand India umbrella through GJEPC-led initiatives such as India design galleries, India experience lounges, buyer–seller meets and India pavilions at leading international exhibitions. These platforms have helped Indian exporters enter new markets while deepening engagement in established destinations, strengthening India’s positioning as a reliable and competitive global sourcing hub.
At the centre of this ecosystem stands IIJS Bharat, GJEPC’s flagship show and today the world’s second-largest gem and jewellery trade fair. Through platforms such as IIJS bharat premiere, IIJS bharat signature and IIJS bharat tritiya, IIJS has emerged as a powerful engine for business generation, buyer discovery and market direction. It showcases the depth of Indian design capabilities, manufacturing scale and supply-chain reliability to global buyers.
Another important milestone was the successful launch of the Saudi Arabia Jewellery Exposition (SAJEX) in Jeddah last year. With Saudi Arabia’s jewellery market projected to nearly double to USD 8.34 billion by 2030, SAJEX is strategically positioned to facilitate deeper market access, direct sourcing and long-term trade partnerships.
Parallel to export diversification, the expanding overseas footprint of Indian jewellery retailers,particularly in the UK, the US and the Middle East, has added stability to demand. The growing role of organised retail is another notable shift, as Indian jewellery brands scale domestically and internationally. Complementing this is India’s strong domestic jewellery market, estimated at USD 85 billion, which continues to act as a critical second pillar, sustaining demand across gold, diamonds, platinum and coloured gemstones.
Trade agreements have further strengthened India’s competitive position. Tariff benefits under the India–UAE CEPA helped drive plain gold jewellery exports to the UAE up by nearly 44 per cent during April to November 2025. Free Trade Agreements with the UAE, Australia, EFTA countries, the UK and Oman have improved market access and price competitiveness, with further opportunities expected as discussions with the European Union progress and the India–UK FTA becomes operational.
Alongside trade agreements, the government’s focus on ease of doing business is yielding tangible results. Digital initiatives such as the Trade Connect Portal are simplifying market outreach, while the Export Promotion Mission launched in November 2025 is strengthening access to credit and institutional support in an industry where micro, small and medium enterprises (MSMEs) account for over 80 per cent of participants.
Taken together, these developments signal a meaningful shift in India’s export model. The industry is becoming more geographically balanced, reducing over-dependence on a few markets and strengthening long-term stability as it works toward its goal of USD 45 billion in exports by 2030 and a USD 100 billion export sector by 2047.
As the industry enters 2026, the outlook is one of disciplined optimism anchored in wider market access, a resilient domestic base and a stronger export-support framework.
Disclaimer: The views expressed in this article are those of the author and do not necessarily reflect the views of the publication.
