The exports of gems and jewellery from India in August declined by 18.79% to USD 2,012.51 million,͏͏ compared͏͏ to͏͏ USD͏͏ 2,478.23͏͏ million͏͏ in͏͏ the͏͏ same͏͏ month͏͏ last͏͏ year,͏͏ according͏͏ to͏͏ the͏͏ Gem͏͏ &͏͏ Jewellery͏͏ Export͏͏ Promotion͏͏ Council͏͏ (GJEPC).
Global͏͏ Demand͏͏ Slump:
This͏͏ decline͏͏ in͏͏ exports͏͏ is͏͏ attributed͏͏ to͏͏ a͏͏ general͏͏ slowdown͏͏ in͏͏ global͏͏ consumption,͏͏ as͏͏ ongoing͏͏ geopolitical͏͏ tensions͏͏ deter͏͏ demand͏͏ and͏͏ lead͏͏ buyers͏͏ to͏͏ adopt͏͏ more͏͏ cautious͏͏ purchasing͏͏ decisions.
The͏͏ export͏͏ of͏͏ cut͏͏ and͏͏ polished͏͏ diamonds͏͏ fell͏͏ by͏͏ 23.8%͏͏ in͏͏ August͏͏ 2024,͏͏ reaching͏͏ USD͏͏ 1,036.63͏͏ million͏͏ compared͏͏ to͏͏ USD͏͏ 1,360.39͏͏ million͏͏ in͏͏ the͏͏ same͏͏ month͏͏ last͏͏ year.͏͏ This͏͏ decline͏͏ reflects͏͏ an͏͏ overall͏͏ dip͏͏ in͏͏ international͏͏ markets,͏͏ compounded͏͏ by͏͏ the͏͏ prolonged͏͏ geopolitical͏͏ crisis,͏͏ the͏͏ approaching͏͏ US͏͏ elections,͏͏ and͏͏ reduced͏͏ demand͏͏ from͏͏ key͏͏ markets͏͏ like͏͏ China.
Continue͏͏ Exploring:͏͏ India’s͏͏ gems and jewellery exports dip͏͏ 13.44%͏͏ in͏͏ June͏͏ to͏͏ INR͏͏ 15,939.77͏͏ Cr:͏͏ GJEPC
Imports͏͏ of͏͏ rough͏͏ diamonds͏͏ reached͏͏ USD͏͏ 4,978.04͏͏ million͏͏ in͏͏ August͏͏ 2024,͏͏ reflecting͏͏ a͏͏ 22.58%͏͏ decline͏͏ compared͏͏ to͏͏ USD͏͏ 6,429.76͏͏ million͏͏ in͏͏ the͏͏ same͏͏ month͏͏ last͏͏ year.͏͏ This͏͏ downturn͏͏ is͏͏ attributed͏͏ to͏͏ accumulated͏͏ inventories͏͏ resulting͏͏ from͏͏ excess͏͏ supply͏͏ and͏͏ limited͏͏ demand.͏͏ As͏͏ a͏͏ result,͏͏ traders͏͏ and͏͏ merchants͏͏ are͏͏ keen͏͏ to͏͏ clear͏͏ unsold͏͏ stock͏͏ to͏͏ revive͏͏ demand.
The͏͏ export͏͏ of͏͏ polished͏͏ lab-grown͏͏ diamonds͏͏ in͏͏ August͏͏ 2024͏͏ reached͏͏ USD͏͏ 99.64͏͏ million,͏͏ representing͏͏ a͏͏ 15.30%͏͏ decline͏͏ from͏͏ USD͏͏ 117.63͏͏ million͏͏ in͏͏ the͏͏ previous͏͏ year.͏͏ The͏͏ ongoing͏͏ decrease͏͏ in͏͏ natural͏͏ diamond͏͏ prices͏͏ has͏͏ also͏͏ affected͏͏ lab-grown͏͏ diamond͏͏ prices,͏͏ leading͏͏ to͏͏ fluctuations.
Gold͏͏ Jewellery Exports͏͏ Dip:
The͏͏ export͏͏ of͏͏ gold͏͏ jewellery͏͏ in͏͏ August͏͏ 2024͏͏ amounted͏͏ to͏͏ USD͏͏ 687.69͏͏ million,͏͏ reflecting͏͏ a͏͏ decline͏͏ of͏͏ 1.15%͏͏ from͏͏ USD͏͏ 695.65͏͏ million͏͏ in͏͏ the͏͏ same͏͏ month͏͏ last͏͏ year.͏͏ This͏͏ decrease͏͏ is͏͏ attributed͏͏ to͏͏ rising͏͏ gold͏͏ prices͏͏ driven͏͏ by͏͏ expectations͏͏ of͏͏ a͏͏ rate͏͏ cut͏͏ by͏͏ the͏͏ US͏͏ Fed.
The͏͏ export͏͏ of͏͏ coloured͏͏ gemstones͏͏ in͏͏ August͏͏ 2024͏͏ reached͏͏ USD͏͏ 156.41͏͏ million,͏͏ marking͏͏ a͏͏ 19.91%͏͏ decline͏͏ from͏͏ USD͏͏ 195.3͏͏ million͏͏ in͏͏ the͏͏ same͏͏ month͏͏ last͏͏ year,͏͏ due͏͏ to͏͏ weak͏͏ demand͏͏ in͏͏ international͏͏ markets.
Commenting͏͏ on͏͏ the͏͏ declining͏͏ exports,͏͏ Colin͏͏ Shah,͏͏ former͏͏ chairman͏͏ of͏͏ GJEPC͏͏ and͏͏ managing͏͏ director͏͏ of͏͏ Kama͏͏ Jewelry,͏͏ stated,͏͏ “With͏͏ over͏͏ 60͏͏ countries͏͏ facing͏͏ elections͏͏ in͏͏ the͏͏ near͏͏ future,͏͏ trade͏͏ activities͏͏ may͏͏ experience͏͏ a͏͏ temporary͏͏ slowdown͏͏ due͏͏ to͏͏ various͏͏ restrictions.͏͏ However,͏͏ we͏͏ anticipate͏͏ a͏͏ return͏͏ to͏͏ normalcy͏͏ following͏͏ the͏͏ elections͏͏ in͏͏ these͏͏ countries,͏͏ which͏͏ should͏͏ aid͏͏ in͏͏ reviving͏͏ demand.”
