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Market Reports

India’s Gems & Jewellery Industry

India’s Gems & Jewellery Industry

1

 Quick Facts: India’s Gems & Jewellery Industry

2

 Overview of Indian Gems & Jewellery Industry

3

 India’s Gems & Jewellery Industry by Product Type

4

 Government Initiatives

5

 Megatrends in Gems & Jewellery Industry

6

 Why Invest in India’s Gems & Jewellery Industry?

Quick Facts: India’s Gems & Jewellery Industry

  • The gems and Jewellery industry contributes approximately 7% to India’s Gross Domestic Product (GDP).
  • India’s Gems & Jewellery sector is projected to expand to INR 11.2 trillion by 2030, reinforcing its critical importance to the nation’s export performance and its growing influence within the domestic retail landscape.
  • The gems and Jewellery sector accounts for ~15.7% of India’s total merchandise exports, making it the third-largest export commodity.
  • India’s merchandise exports increased by 6.7% year-on-year to USD 35.1 billion (INR 2.9 trillion) in August 2025, up from USD 32.9 billion (INR 2.7 trillion) in August 2024.
  • India is firmly established as a global hub for Jewellery manufacturing, underpinned by a strong ecosystem of approximately 450 organised manufacturers, importers and exporters.
  • Established in 1966, the Gem and Jewellery Export Promotion Council (GJEPC) represents over 10,000 members across India’s gems and Jewellery industry. It promotes Brand India globally, bridges government and trade and supports diamond integrity, education, innovation and infrastructure development.
  • India’s gems and Jewellery exports grew by 15.57% year-on-year to USD 2.3 billion (INR 203.7 billion) in August 2025, compared to USD 2 billion (INR 167.8 billion) in August 2024. In rupee terms, the sector recorded a stronger growth of 20.56% over the same period.

Overview of the Indian Gems & Jewellery Industry

India’s gems and Jewellery market is one of the most established and globally integrated sectors, driven by deep-rooted cultural significance, skilled craftsmanship and a strong export-oriented ecosystem. Cities such as Surat, Mumbai, Jaipur, Kolkata, Hyderabad and Thrissur act as key manufacturing and trading hubs, each specialising in distinct segments such as Surat in diamond cutting and polishing, Jaipur in coloured gemstones and Kerala in traditional gold Jewellery.

Market drivers include rising disposable incomes, urbanization and the premiumization of Jewellery consumption, particularly among younger consumers. The growing preference for branded and hallmarked Jewellery has improved consumer trust and accelerated the shift from unorganised to organised players such as Titan (Tanishq), Kalyan Jewellers, Malabar Gold & Diamonds and PC Jeweller.

Additionally, there is an increasing demand for lightweight and everyday Jewellery, especially among working professionals. Lab-grown diamonds are gaining traction due to affordability and sustainability appeal, with Indian players expanding capabilities in both manufacturing and retail. Growth in tier II and tier III cities, increasing women workforce participation and wedding-related consumption offer long-term domestic expansion potential.

Overview of the Indian Gems & Jewellery Industry

India’s Gems & Jewellery Industry by Product Type

Diamonds

  • India’s diamond market is projected to double by the end of the decade, despite global geopolitical and trade challenges.
  • India began its tenure as Chair of the Kimberley Process (KP) in January 2026, focusing on conflict-free diamonds.
  • Major export markets for Indian diamonds include the United Arab Emirates (UAE), the United States, Hong Kong, Belgium and Thailand.
  • Millennials and Gen Z account for nearly 70% of India’s population, positioning India as the youngest major diamond-consuming market globally.

Gold Jewellery

  • The total gross export of gold Jewellery stood at INR 108.3 billion in November 2025.
  • Gold holds deep cultural significance in India, closely linked to religious beliefs, traditions and festivals. Bridal Jewellery remains the dominant segment, accounting for around 50–55% of the gold Jewellery market.
  • Manufacturers are increasingly shifting toward lightweight Jewellery designs to cater to younger consumers, particularly those seeking everyday-wear gold Jewellery that complements modern, Western-style fashion.

Silver Jewellery

  • The provisional gross export of silver Jewellery during April–November 2025 amounted to INR 81.3 billion.
  • In Q1 2024, 75% of millennial and Gen Z consumers globally prefer Jewellery made from ethically sourced or recycled materials, according to The Silver Institute.
  • Jewellery fabrication, one of India’s core strengths, grew 3% globally to 208.7 million troy ounces (Moz), with India contributing the majority of this growth.

Lab-Grown Diamond

  • In 2023, India produced over three million lab-grown diamonds, representing more than 15% of global output, according to iNDEXTb.
  • The gems and Jewellery sector, including lab-grown diamonds, permits 100% Foreign Direct Investment (FDI) to encourage global participation.
  • Under the Union Budget FY24, the government announced a five-year INR 2,420 million seed grant to establish a lab-grown diamond centre at IIT Madras.

Coloured Gemstones

  • In India, the Navaratna comprises nine revered gemstones such as ruby, pearl, emerald, diamond, red coral, cat’s eye, hessonite, blue sapphire and yellow sapphire.
  • Ranked among the top three coloured gemstones for rarity and value, emeralds hold a distinctive position in the aspirational luxury segment.

Platinum Jewellery

  • Demand for platinum Jewellery is increasing, particularly among younger consumers and for men’s wedding gifting.
  • Bi-metal (platinum combined with gold) designs now account for 20–25% of platinum Jewellery sales.
  • Platinum Guild International’s (PGIs) top 15 partners in India achieved 7% YoY platinum sales growth, supported by in-store activations, digital campaigns and celebrity marketing.
India’s Gems & Jewellery Industry by Product Type

Government Initiatives

Supportive Budget Inclusion

  • Under the Union Budget 2025–26, customs duty on Jewellery (HSN 7113) was reduced from 25% to 20%, while duty on platinum findings was sharply cut from 25% to 5%, improving affordability and supporting domestic demand.
  • In the Union Budget 2024, the government proposed reducing the basic customs duty on gold and silver to 6% and on platinum to 6.4%.

Supportive Government Schemes

  • From January 2018, the Bureau of Indian Standards (BIS) strengthened gold hallmarking norms by mandating the BIS mark, carat purity, fineness and jeweller/product identification to ensure quality and transparency.
  • GJEPC partnered with Maharashtra Industrial Development Corporation (MIDC) to develop India’s largest Jewellery park at Ghansoli, Navi Mumbai, spread over 25 acres with 5,000+ units and an investment of approximately INR 1,350 million.
  • Gold Monetisation Scheme enables individuals, trusts and mutual funds to deposit gold with banks and earn interest, supporting gold mobilisation and formalisation.

Global Promotional Events

  • The 17th edition of the India International Jewellery Show (IIJS) Signature took place from 4–7 January 2025 at the Jio World Convention Centre and 5–8 January 2025 at the Bombay Exhibition Centre, Mumbai, serving as a premier platform that united the global gems and Jewellery industry, including manufacturers, exporters, buyers and industry stakeholders, under one roof.
  • The 16th edition of IIJS Signature Mumbai 2024 concluded successfully, featuring 1,500+ exhibitors, attracting 25,000+ visitors and welcoming participants from over 60 countries.

Megatrends in the Gems & Jewellery Industry

Export Growth and Policy Support

  • Government initiatives, Free Trade Agreements (FTAs) with the UAE & Australia and rising global demand fuel exports, with a target of USD 75 billion (INR 6,806 billion) by 2030.
  • GJEPC signed an MoU with European luxury marketplace Catawiki on 10 January 2026 at IIJS Bharat Signature to enable Indian Jewellery sellers to access Catawiki’s curated auction platform across Europe.
  • Agreements such as the India–UAE Comprehensive Economic Partnership Agreement (CEPA), Australia Economic Cooperation and Trade Agreement (ECTA), Japan and South Korea CEPAs and the recent India–New Zealand FTA have significantly reduced duty barriers and facilitated smoother cross-border trade.

Organized Retail Dominance

  • The market is fragmented and SME-dominated, though the past decade has seen gradual consolidation driven by evolving consumer preferences and government-led formalisation efforts.
  • Stand-alone and mid-sized Jewellery retailers typically focus on bridal Jewellery (60–65% of sales), customisation and strong personal customer relationships.
  • As large players increasingly prefer organised manufacturers, the market share of organised suppliers is expected to strengthen further.

Why Invest in India’s India’s Gems & Jewellery Industry?

Global Market Dominance

  • India is the world’s largest hub for cutting and polishing diamonds, processing approximately 9 out of every 10 diamonds sold globally.
  • The Bharat Diamond Bourse (BDB) in Mumbai and the Surat Diamond Bourse (SDB), the world’s largest office building, provide world-class trading infrastructure.
  • India’s gems and Jewellery exports reach major international markets such as the USA, Hong Kong, the UAE, Belgium, Israel, Thailand, Singapore, the UK, the Netherlands and Japan.

Favourable Government Policies

  • Foreign Direct Investment is allowed under the automatic route, simplifying the entry for global brands.
  • Frequent adjustments to import duties and the CEPA agreement with the UAE have lowered the cost of raw materials, including gold and silver.
  • Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGTMSE) enables collateral-free institutional credit to micro and small enterprises, improving access to formal financing nationwide.

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