Gems & Jewellery exports down by 10.29% imports down by 27.23% in December 2024
As per the data released by the Gems and Jewellery Export Promotion Council (GJEPC), the apex body for the Gems & Jewellery Industry in India, the overall gross exports of Gems & Jewellery in December 2024 stood at USD 1967.98 million (Rs. 16719.460 crores), showing a decline of 10.29% compared to USD 2193.82 million (Rs. 18269.7 crores) for the same period last year. This is due to the economic uncertainty looming in the market due to which buyers are leaning more towards the yellow metal as safe haven for investments rather than splurging on lifestyle. Having said that, given the ceasefire and hopes of truce amid Israel and Hamas, exports will gradually start to pick up pace.
The overall imports of Gems & Jewellery for December 2024 stood at USD 1526.95 million (Rs. 12992.3 crores) showing a decline of 27.23% as compared to 2098.19 million (Rs. 17468.04 crores) for the same period last year. This is a routine trend of temporary decline in sales that stays for about a quarter after festive and wedding sales. However, there is shift in buying behaviour among buyers as the millennials and GenZ are increasingly preferring lightweight jewellery in precious metals for dailywear. This trend will see a major uptick in 2025, thereby boosting domestic demand.
Cutand Polished Diamonds: The overall gross export of Cut & Polished diamonds declined by 10.36% in December 2024, standing at USD 773.1 million (Rs. 6569.7 crores) compared to USD 862.48 million (Rs. 7182.53 crores) for the corresponding period last year. This dip is an inverted effect of poor demand in the international market which is in turn hampering the business in the diamond cutting and polishing capital of the world. Another reason can be attributed to the tough competition coming in from Lab Grown Diamonds, who are increasingly gaining popularity amongst the consumers.
Similarly, the overall gross imports of Cut & Polished diamonds saw a decline of 64.1%, which stood at USD 91.26 million (Rs. 775.73 crores) when compared to USD 254.18 million (Rs. 2116.49 crores) for the same period last year.
Rough Diamonds: Gross imports of rough diamonds stood at USD 7882.58 million (Rs 66066.49 crores) in December 2024, showing a decline of 22.1% when compared with the imports for the same period last year which stood at USD 10118.93 million (Rs. 83603.48 crores). This is due to the dampened demand in the international markets owing to the global economic uncertainty caused by the geo-political tensions. To provide cushioning to their investments, consumers are turning towards safe-haven assets like gold which is a highly returns yielding asset compared to diamonds, which is a non-yielding asset.
Polished Lab Grown Diamonds: The total gross export of Polished Lab Grown Diamonds during December 2024 stood at USD 78.93 million (Rs. 670.77 crores) showing a decline of 5.48% as compared to USD 83.51 million (Rs. 695.48 crores) for the previous year. This is due to the effect of fluctuations in the prices of natural diamonds that has created a reaction on this product category resulting in muted demand in the global markets.
Gold Jewellery: The total gross export of Gold Jewellery in December 2024 stood at USD 868.03 million (Rs. 7374.41 crores), showing a significant decline with 3.56% compared to USD 900.11million (Rs. 7496.27 crores) for the same period last year. Since the wedding and holiday season is on the verge of getting over, the demand has been coming down.
Coloured Gemstones: Provisional gross export of Coloured Gemstones during December 2024 stood at USD 304.13 million (in Rs. 2550.25 crores) witnessing a decline of 11.5% compared to USD 343.64 million (Rs. 2840.55 crores) for the same period last year.
Commenting on the same, Mr. Colin Shah, MD, Kama Jewelry said, “The geo-political tension has been acting as a major deterrent for the trade activities. However, the ceasefire deal between Israel and Hamas comes as a major relief for the entire globe, which will pave the path for both the countries to come to a truce. Hence, we hope to see gradual rebound in trade activities in the upcoming months.”
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