Gems And Jewellery Exports Fall 35% In March Amid West Asia Disruptions: GJEPC

(MENAFN- KNN India) New Delhi, Apr 15 (KNN) India's gems and jewellery exports witnessed a sharp decline in March, falling 35.23 per cent year-on-year to USD 27.7 billion, largely due to disruptions caused by the ongoing West Asia conflict, according to the Gem and Jewellery Export Promotion Council (GJEPC).

GJEPC Chairman Kirit Bhansali said, "The Middle East conflict impacted gems and jewellery exports in March as logistics were affected. Even the diamond export parcels couldn't get through. Due to a high-risk situation, the insurance premiums skyrocketed, further impacting the shipments," PTI reported.

Despite the near-term disruption, industry leaders see an opportunity for India to strengthen its position in the global diamond trade.

"Companies in the UAE are showing keen interest in setting up rough diamond trading in India. I think, with the government support, we can turn India into a trading hub as we are already a hub in polishing," Bhansali noted.

Annual Exports Show Marginal Decline

For the full financial year 2025–26, overall gems and jewellery exports declined marginally by 3.32 per cent to USD 27.7 billion, compared to the previous fiscal.

The impact of weaker demand in key markets such as the United States and China-partly due to tariffs and economic pressures-was offset by stronger demand from regions including the Gulf Cooperation Council (GCC), the United Kingdom and the European Union.

Bhansali said the council expects geopolitical tensions to ease over the next two to three months.

"Once the geopolitical tensions settle down, the gems and jewellery exports will increase. However, we will continue to explore new export markets," he added.

Mixed Segment Performance

According to GJEPC provisional data, exports of cut and polished diamonds (CPD) declined sharply by 27.48 per cent in March to USD 838.75 million (Rs 7,798.82 crore), compared to USD 1,156.60 million (Rs 10,002.52 crore) in the same period last year.

For the full fiscal year FY26, CPD exports fell by 8.52 per cent to USD 12,159.83 million (Rs 1,07,461.34 crore), down from USD 13,292.43 million (Rs 1,12,414.32 crore) in FY25.

In contrast, total gold jewellery exports remained largely flat in FY26 at USD 11,364.32 million (Rs 1,00,277.64 crore), compared to USD 11,367.42 million (Rs 96,254.5 crore) in the previous year.

However, silver jewellery exports recorded strong growth, rising 52.21 per cent to USD 1,467.47 million (Rs 13,013.54 crore) in FY26, up from USD 964.10 million (Rs 8,135.78 crore) a year earlier.

(KNN Bureau)

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