Jewellery Imports rise 16.66 per cent as industry rebuilds inventories amid weak global demand, geopolitical tensions and macroeconomic uncertainty
Jewellery India’s gems and jewellery exports recorded a sharp decline of 35.23 per cent year-on-year to USD 1.78 billion in March 2026, impacted by weak international demand, ongoing geopolitical tensions in West Asia and broader economic uncertainty, according to official trade data.
Imports moved in the opposite direction, increasing 16.66 per cent to USD 2.31 billion during the month. The rise was driven by higher procurement of raw materials, particularly gold and diamonds, as manufacturers stepped up inventory rebuilding in anticipation of improved demand conditions ahead.
Gold And Diamonds Drag Overall Exports
Gold jewellery exports saw a steep contraction of 48.11 per cent in March 2026, falling to USD 655.92 million due to elevated gold prices, muted seasonal demand and reduced orders from overseas buyers.
Despite the monthly decline, gold jewellery exports remained largely stable over the full financial year, slipping marginally by 0.03 per cent to USD 11.36 billion, as currency movements helped offset pressure from weaker global demand.
Within the segment, plain gold jewellery exports dropped sharply by 70.65 per cent in March and declined 7.42 per cent annually. In contrast, studded gold jewellery showed relative resilience, falling 19.62 per cent in March but rising 6.27 per cent over the year, supported by wedding and festive demand in select international markets.
The diamonds segment also witnessed uneven trends. Cut and polished diamond exports fell 27.48 per cent in March to USD 838.75 million, reflecting subdued demand, cautious buying patterns and ongoing price corrections in key global markets. For the full year, exports declined 8.52 per cent to USD 12.16 billion.
Imports of cut and polished diamonds, however, surged 312.15 per cent in March and rose 28.32 per cent during the year, indicating inventory rebuilding and improved supply availability alongside expectations of demand recovery. Rough diamond imports declined 2.67 per cent to USD 10.48 billion over the year, pointing to restrained manufacturing activity and tighter inventory management.
Lab-grown polished diamond exports also declined 27.56 per cent in March 2026, weighed down by weak retail demand, pricing pressures and inventory adjustments across global markets.
Silver And Platinum Offer Bright Spots
Silver jewellery emerged as a key growth segment, rising 52.21 per cent to USD 1.47 billion in FY26, driven by stronger global demand for more affordable alternatives to gold. Platinum jewellery exports also posted robust growth of 39.32 per cent to USD 254.60 million, supported by increasing international preference for modern and premium jewellery categories.
Coloured gemstone exports remained largely stable, slipping marginally by 0.71 per cent to USD 437.31 million, reflecting relative resilience despite broader sectoral weakness.
For the full financial year April 2025–March 2026, overall gems and jewellery exports declined 3.32 per cent to USD 27.72 billion, while in rupee terms they rose 0.93 per cent, supported by currency depreciation. Imports rose 16.99 per cent to USD 22.83 billion during the period.
The trade body noted that export performance remained subdued throughout the year due to weak global consumption, elevated crude oil prices and supply chain disruptions linked to geopolitical tensions. It also highlighted that overseas buyers reduced purchases and liquidated inventories amid ongoing macroeconomic uncertainty.
