Key facts
- India's gems and jewellery exports decreased by 2.49% in May to USD 2,047.80 million.
- Gold jewellery exports declined by 14.75% to USD 758.44 million in May.
- Plain gold jewellery exports experienced a significant contraction.
- Studded gold jewellery exports saw a 1.79% increase to USD 463.57 million.
- Cut and polished diamond exports grew by 3.31% to USD 980.73 million.
- Lab-grown diamond exports surged by 25.99% to USD 101.50 million.
- Silver jewellery exports increased by 14.73% to USD 97.39 million.
India's gems and jewellery exports experienced a year-on-year decline of 2.49% in May, reaching USD 2,047.80 million. This downturn was attributed to elevated gold prices and supply chain challenges, according to the Gem and Jewellery Export Promotion Council (GJEPC).
Total gold jewellery exports fell by 14.75% to USD 758.44 million in May compared to the same period last year. The decline was largely driven by a sharp contraction in plain gold jewellery exports. The sector is grappling with high gold prices, limited availability of gold for export production, and regulatory hurdles affecting gold supply through banking channels.
Despite the overall dip, studded gold jewellery exports showed resilience, growing by 1.79% to USD 463.57 million. GJEPC Chairman Kirit Bhansali attributed this growth to the positive impact of India's Free Trade Agreements (FTAs). However, he expressed concern over the decline in plain gold jewellery shipments, linking it to tightened gold import regulations that affect gold availability for manufacturing.
Bhansali noted that gold consumption for export production decreased by nearly 21.4% in April-May 2026 compared to the previous year. He also highlighted that gold availability from banks has been impacted by regulatory bottlenecks, exacerbated by a significant rise in gold prices, which increased by 45.69% year-on-year in April-May 2026.
In contrast, other segments performed well. Cut and polished diamond shipments increased by 3.31% to USD 980.73 million. Exports of polished lab-grown diamonds saw a substantial growth of 25.99%, reaching USD 101.50 million. Silver jewellery exports also posted a healthy gain of 14.73%, amounting to USD 97.39 million.