The Gem & Jewellery Export Promotion Council (GJEPC) has reported a 12% increase in gold jewellery exports this fiscal year. This contrasts with a 10% drop in diamond exports over the first nine months. The council remains hopeful for a recovery in diamond exports, especially in the US, which makes up nearly half of these exports.

Between April and November of FY25, exports of cut and polished diamonds fell by 18.8% to USD 8,980.2 million compared to the same period last year. Officials noted that China’s weak demand is still a concern for diamond exports. However, a 5% rise in US demand during Thanksgiving offered some relief for December.

US Market Dynamics

GJEPC Chairman Vipul Shah expressed optimism about future growth. “We believe the worst is behind us, with a 10 per cent decline in the first nine months of this fiscal. With the new government in the US under Donald Trump, we are optimistic about a revival in demand and expect 10–15 per cent growth in 2025–26,” he stated at the Silver Jubilee celebration of the Eastern Regional Office in Kolkata.

Gold jewellery exports have benefited from increasing gold prices, according to state GJEPC official Pankaj Parekh. Shah also mentioned that the industry has requested duty drawback alignment for platinum in its pre-budget proposals. Platinum is seen as an emerging precious metal with significant potential.

Strategic Developments

The GJEPC has invested Rs 150 crore in promoting diamonds globally and is also focusing on lab-grown diamonds to attract price-sensitive buyers. Shah announced plans to develop Singur in West Bengal as a global export hub for fashion and costume jewellery, capitalising on its skilled workforce and artisanal heritage.

He highlighted changes in global trade patterns, noting that the US is reducing its procurement from China. This shift offers an opportunity for Singur’s manufacturers to meet increasing demand and enhance their global presence.

Local Workforce and Infrastructure

Singur boasts around one lakh skilled Bengali karigars working in local manufacturing units, with women making up 20% of this workforce. Developing Singur as an export hub will boost the local cottage industry, Shah said.

Located in Hooghly district, Singur offers strategic advantages due to its proximity to five railway stations, NH-2, and Kolkata airport. The area also hosts vendors who import raw materials, including newly established gypsum manufacturing units of imported quality, Parekh added.

Kolkata’s renowned craftsmanship provides a foundation of artisanal heritage that Singur’s jewellery manufacturers can leverage, according to Shah. This rich legacy of artistic skills positions Singur well for future growth.