India Gem and Jewellery Market: Industry Analysis and Forecast (2024-2030) Trends, Statistics, Dynamics, Segmentation by Stone Type, Product Type, and Distribution Channel.

India Gem and Jewellery Market size was valued at USD 43.71 billion in 2023 and the total India Gem and Jewellery Market revenue is expected to grow at a CAGR of 17.35 % from 2024 to 2030, reaching nearly USD 133.96 billion.

India gem and jewellery industry involves the manufacturing, processing, and trading of various gemstones, diamonds, gold, silver, platinum, and other precious metals and ornaments. It encompasses a diverse array of products, from traditionally handcrafted jewellery to modern designer pieces, showcasing a blend of craftsmanship, culture, and innovation. The India Gem and Jewellery Market has been a prominent global player, contributing significantly to the country's economy. Factors like cultural significance, growing disposable incomes, evolving consumer preferences, and the wedding and festive seasons fuel market expansion. The industry is predominantly centred in locations like Mumbai, Surat, Jaipur, and Ahmedabad, known for their diamond processing, gold jewellery crafting, and skilled artisans. The industry's growth is propelled by factors such as a surge in demand for branded jewellery, rising e-commerce penetration, increasing Western influences, and the emergence of millennials as significant consumers. The government's initiatives to liberalize policies, boost exports, and encourage investments to contribute to India Gem and Jewellery Market growth. Trends include a preference for lightweight jewellery, the use of technology in design and marketing, sustainable and ethical practices, and a focus on customization to meet diverse consumer demands.

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Opportunities lie in expanding exports, leveraging online retail, and tapping into the emerging India Gem and Jewellery Market. Noteworthy recent developments involve key players adopting innovative strategies, like Tanishq's focus on modern designs and ethical sourcing, to strengthen their India Gem and Jewellery Market presence. Companies like Titan, Joyalukkas, and Kalyan Jewellers are expanding their footprints and product portfolios, targeting varied consumer segments and international markets. Additionally, collaborations with international designers, technology integrations, and investment in R&D mark the industry's pursuit of sustainable growth and global competitiveness. The India Gem and Jewellery Market shows a dynamic landscape, blending tradition with innovation, fostering growth, and capturing global attention through its diverse offerings, India Gem and Jewellery Market strategies, and industry advancements.
Market Dynamics:
Government Initiatives and GJEPC Driving Forces Behind India's Gem & Jewellery Success:

India's gem and jewellery industry, constituting 7.5% of India's GDP and 14% of its merchandise exports as of February 2021, is a formidable force. The sector shows robust potential for growth, expecting to employ around 8.23 million individuals by 2022, indicating its significance in the nation's economic landscape. Recognizing its value, the Indian Government designated it a focus area for export promotion, initiating strategic measures to elevate 'Brand India' internationally. In pursuit of fostering industry growth, the Government has facilitated substantial advancements. Under the automatic route, the allowance of 100% Foreign Direct Investment (FDI) in the sector streamlined the investment process, exempting prior approval from authorities. Additionally, signing the Comprehensive Economic Partnership Agreement (CEPA) with the UAE in March 2022 marked a pivotal move. This agreement grants the gems and jewellery industry duty-free access to the UAE market, propelling export prospects. The Gems and Jewellery Export Promotion Council (GJEPC) aims to triple exports to the UAE post-CEPA, envisioning substantial growth opportunities in this India Gem and Jewellery Market.

India's eminence in gems and jewellery is evident as the seventh largest exporter, contributing 3.5% to exports. Leading in diamonds, silver jewellery, lab-grown diamonds, and synthetic stones, India's FY23 exports reached US$ 20.58 billion, predominantly driven by cut and polished diamonds amounting to US$ 12.22 billion. Ambitious targets set by the government aim to propel exports to US$ 45.7 billion in 2022-23, indicating a proactive approach to stimulating growth. The India Gem and Jewellery Market export destinations predominantly include the USA, Hong Kong, UAE, Belgium, Israel, Thailand, Singapore, the UK, Netherlands, and Japan. With the USA emerging as the largest importer, markets like Israel, Thailand, the UK, and the Netherlands have experienced significant growth, attributed to post-pandemic economic recovery and increased consumer spending.

Government initiatives have been pivotal in nurturing the sector's growth trajectory. Measures such as revamping gold monetization schemes, reducing import duties on precious metals, implementing mandatory hallmarking, and providing financial aid for establishing production centers and testing hubs have stimulated industry advancement. Emphasis on promoting patented designs, product diversification, cost-effective collaboration, and the promotion of lab-grown diamonds illustrates a concerted effort to drive growth and innovation. The Gem and Jewellery Export Promotion Council (GJEPC) has been instrumental in connecting over 7,500 members, working towards brand promotion, and government-trade collaboration, ensuring diamond integrity, and fostering education, innovation, and infrastructure within the industry. India's gem and jewellery market's success is propelled by multifaceted government support, innovation, stringent quality focus, and strategic initiatives aimed at expanding its footprint, solidifying its position as a dominant player in the arena. These concerted efforts showcase India's commitment to nurturing and expanding its gems and jewellery industry.



Remarkable Surge in India's Gem & Jewellery Exports Amidst Market Shifts and Rising Gold Prices:

India's gem and jewellery sector showcased remarkable growth, witnessing a substantial surge in exports, reaching USD 40.43 billion in 2022-2023, marking an 11.39% increase from the previous year. The USA retained its position as the primary export destination, closely followed by the UAE and Hong Kong. However, this growth occurred amidst a significant shift in the India Gem and Jewellery Market influenced by rising gold prices, which escalated by 10% in 2023, hitting an all-time high of INR 55,000 per 10 grams. This spike in gold prices notably impacted the demand for gold jewellery, particularly among rural consumers, prompting shifts in consumer preferences.
The industry witnessed a noticeable pivot towards sustainability, as ethical sourcing and sustainable practices gained traction. Consumers now demand transparency and certification regarding the origin of metals and gemstones, prompting several brands to adopt eco-conscious approaches such as utilizing recycled gold and ethically sourced India Gem and Jewellery Market trends. Governmental initiatives like the Gold Monetization Scheme, Common Facility Centers (CFCs), and Special Economic Zones (SEZs) aim to invigorate the sector by incentivizing gold deposits, offering advanced training facilities, and providing tax benefits to attract investments. Embracing technology has emerged as pivotal, manifesting itself in various facets from the surge in online jewellery sales via e-commerce platforms to the adoption of cutting-edge methodologies like 3D printing in design and manufacturing. Additionally, technology has become a linchpin in marketing strategies, utilizing social media and digital platforms to engage consumers and bolster brand awareness, signaling a holistic transformation within the industry.



India Gem and Jewellery Market drives on a global scale, with major exports heading to destinations like the USA, Hong Kong, UAE, Belgium, Singapore, Israel, Thailand, the UK, Switzerland, and the Netherlands. In 2022-23, the USA remained the top importer, although imports declined slightly compared to the previous year, marking a shift in trade patterns. Yet, Hong Kong and the UAE maintained their positions as significant exports Gem and Jewellery Market for India. During 2022-23, certain key destinations such as Belgium, Singapore, Switzerland, and the Netherlands witnessed a remarkable surge in imports from India, surpassing pre-pandemic levels from 2021-22. This resurgence largely stemmed from revived consumer spending post-pandemic, as well as increased retail sales following the lifting of COVID-19 restrictions. Moreover, the establishment of the India Jewellery Exposition (IJEX) center in Dubai and the strategic agreements inked with key export partners like the UAE, Australia, Israel, the UK, and Canada are poised to sustain and bolster future export growth for India Gem and Jewellery Market.



Name
Stores
Cities/Towns


Tanishq (including Zoya)
382
209


Malabar Gold and Diamonds
150
111


Senco Gold and Diamonds
126
85


Kalyan Jewellers
116
87


Reliance Jewels
99
85


Joyallukas
85
67


PC Jewellers
82
68


Shubh Jewellers
82
34


PC Chandra Jewellers
57
50


Orra Jewellery
58
25



Impact of Precious Metal Price Fluctuations on India's Jewellery Market:

The dynamic landscape of India gem and jewellery market faces multifaceted challenges that impact its growth trajectory. Changing trends in global fashion, particularly the high prices of diamonds, gold, and silver, pose a significant hurdle. Exporters often struggle due to insufficient design development centers and an inability to swiftly innovate designs that align with evolving foreign buyers' preferences. This leads to surplus stock, forcing producers to lower costs, sometimes below production cost, affecting their capital and profitability. Human resource limitations compound these challenges. Despite a rich heritage of craftsmanship, India contends with a less productive labor force compared to several other countries. The scarcity of skilled workers, especially in metalworking, hampers the scalability and efficiency of the industry. The absence of standardized training and the reliance on an on-the-job training model prolong the time required to acquire industry-relevant skills, further creating skill gaps.

Price fluctuations in precious metals like gold and silver significantly impact consumer purchasing behavior. The upward surge in gold and silver prices alters consumer buying patterns, affecting demand in the India Gem and Jewellery Market. Government regulations aimed at curbing gold imports, coupled with volatile gold prices, increase working capital requirements and hinder investment demand, impacting the iIndia Gem and Jewellery industry's growth. Furthermore, rising competition from countries like China poses a long-term threat to India's dominant position in the global cut and polished diamond market. Factors such as China's cheap labor, improving workmanship, and growing domestic demand contribute to this challenge, potentially reshaping India Gem and Jewellery Market dynamics. Financial constraints, transportation hurdles, and limited research and development facilities further underscore the challenges facing the Indian gem and jewellery market, demanding innovative solutions to overcome these constraints and sustain growth.
India Gem and Jewellery Market Segment Analysis:
Based on Product Type, The India Gem and Jewellery Market exhibits varied dominance across different product segments. Rings and necklaces stand out as the dominant categories, commanding substantial India Gem and Jewellery Market shares owing to their widespread popularity and cultural significance in India. Rings reign supreme in the Indian market due to their cultural significance and enduring demand, particularly engagement rings. These pieces symbolize commitment and are deeply embedded in Indian traditions, contributing to their sustained dominance. The application of rings extends beyond symbolic gestures; they serve as symbols of status and are essential in various ceremonies, emphasizing their significance. The adoption rate remains high, especially among the younger demographic, owing to evolving fashion trends and a fusion of traditional and modern designs. This segment is expected to maintain its dominance, backed by cultural values and innovative designs catering to diverse consumer preferences.



Necklaces hold a prominent position in the Indian jewellery market, driven by their adornment value and cultural heritage. The opulence and intricate designs of necklaces make them a sought-after accessory for special occasions, festivals, and weddings, enhancing their dominance. Their application spans across diverse demographics and occasions, serving as statement pieces and traditional ornaments alike. The adoption rate remains steady, upheld by the blend of traditional craftsmanship and contemporary designs that resonate with both domestic and international consumers. The segment is poised to sustain its dominance due to its timeless appeal and the fusion of classic and modern aesthetics, catering to a wide consumer base. Earrings maintain a strong foothold in the Indian market, appreciated for their versatility and ability to complement various outfits. While not as dominant as rings and necklaces, earrings have a growing influence due to evolving fashion trends and increased adoption by younger consumers. Their applications range from everyday wear to formal occasions, reflecting their versatility and broad appeal. Earrings are expected to witness significant growth in adoption, driven by innovative designs and changing consumer preferences for lightweight, trendy, and statement pieces. This segment is likely to experience an upsurge in dominance, aligning with evolving fashion tastes and the emphasis on individualistic styles. While rings continue to dominate due to cultural significance, necklaces hold their ground with timeless appeal, and earrings show potential for increased dominance through innovative designs and evolving consumer preferences.
India Gem and Jewellery Market Regional Insights:
South India's prominence in India gem and jewellery market stems from its rich historical legacy, particularly in diamond cutting, and craftsmanship evident in intricate gold jewellery from cities like Jaipur and Ahmedabad. Renowned globally, these designs capture diverse clientele.

Integral to West India's dominance is its robust infrastructure exemplified by Surat, acclaimed as the "Diamond City of India." This hub processes a vast majority of the world's rough diamonds, boasting significant diamond cutting and polishing capabilities. Mumbai serves as a vital trading nexus, facilitating smooth import-export activities for rough and finished jewellery, housing multiple trading centres that connect seamlessly with the India Gem and Jewellery Market.

The region's investment-friendly climate, including Gujarat and Maharashtra's Special Economic Zones (SEZs), incentivizes gem and jewellery businesses with tax benefits, fostering growth. Initiatives like Common Facility Centers (CFCs) equip artisans with advanced tools and training, elevating production standards.

India Gem and Jewellery Market contribute to West India's dominance, driven by a rising preference for diamonds, especially in engagement rings, and a shift towards branded jewellery. Esteemed brands like Tanishq and Popley align with evolving consumer preferences, focusing on design innovation and contemporary pieces that resonate with modern tastes.



Competitive Landscape

The recent developments within the Indian gem and jewellery sector signify a shift and a proactive approach towards innovation, international collaborations, and India's Gem and Jewellery Market growth. Initiatives like the Lab-grown Diamond Buyer & Seller Meet in Surat show the industry's inclination toward technological advancements and sustainable practices. GJEPC's events like the Internal Jewellery Show Signature 2022 and international collaborations, exemplified by the India Global Connect in Morocco, underscore the sector's global outreach and efforts to explore the diverse India Gem and Jewellery Market. Investments by key players like Malabar Group's substantial Rs. 750 crore investment in a gold refinery and jewellery unit in Hyderabad indicate a robust commitment to expanding infrastructure, enhancing manufacturing capacities, and fostering industry growth. Collaborations between entities like Tanishq's launch of antimicrobial jewellery and the agreement between the World Gold Council and GJEPC to promote gold jewellery in India reflect a strategic focus on product innovation and India Gem and Jewellery Market relevance, catering to evolving consumer demands and health considerations. Malabar Gold & Diamonds' significant investment plans and growth strategies across India and globally signify a bullish sentiment within the sector, showcasing a positive outlook and substantial growth expectations, likely to contribute to India Gem and Jewellery Market growth and competitiveness.

In April 2023, The Gem & Jewellery Export Promotion Council (GJEPC) initiated the inaugural Lab-grown Diamond Buyer & Seller Meet in Surat, attended by prominent industry figures. This signifies a pivot towards sustainable practices and technological advancements.
In February 2022, GJEPC organized the Internal Jewellery Show Signature 2022, hosting 850 exhibitors and over 400 international visitors, expanding global collaborations within the sector.

In September 2021, Malabar Group invested Rs. 750 crore in a gold refinery and jewellery unit in Hyderabad, showing a significant commitment to infrastructure growth.

In May 2021, GJEPC and the Embassy of India, Morocco, co-hosted ‘India Global Connect, enhancing trade prospects in the gems and jewellery sector between the two nations.

April 2021, Malabar Gold & Diamonds' announcement to invest Rs. 1,600 crore and open 56 stores globally, coupled with the employment of over 5,000 staff in India, demonstrates a substantial expansion plan, emphasizing market penetration and workforce engagement within the industry.
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India Gem and Jewellery Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 43.71 Bn.


Forecast Period 2024 to 2030 CAGR:
17.35%
Market Size in 2030:
US $ 133.96 Bn.


 Segments Covered:
by Stone Type
Emerald
Ruby
Sapphire
Other


by Product Type
Rings
Necklaces
Earrings
Bracelets
Chains and Pendants
Other


by Distribution Channel
Online
Offline



 India Gem and Jewellery Market, by Region
North India
South India
East India
West India
India Gem and Jewellery Market Key Players:
1. Tanishq (Titan Company Limited (Karnataka)
2. Reliance Jewels (Reliance Retail (Maharashtra)
3. PC Jeweller (Delhi)
4. Malabar Gold & Diamonds (Kerala)
5. Kalyan Jewellers (Kerala)
6. Gitanjali Gems (Maharashtra)
7. Joyalukkas (Kerala)
8. Mellora (Karnataka)
9. AADINATH EXPORTS(Rajasthan)
10. UNIQUE JEWELLERS (Maharashtra)
11. Bello Jewels Star (Delhi)
12. Haaris Real Estates, & Precious Gem & Jewellery (Maharashtra)
13. Gem Mart (India) Pvt. Ltd. (Rajasthan)
14. Gaya Gem & Jewellerytones Pvt Ltd (Bihar)
15. ARIHANT SILVER & CRAFTS (Rajasthan)
16. ACUTE GEM & JEWELLERY (Maharashtra)
17. SUNRISE JEWELLERS (Rajasthan)
18. Stone Art (Rajasthan)
19. Jindal Gem & Jewellery (Rajasthan)
20. PDM GEM & JEWELLERY (Rajasthan)s
21. ZAHEEN JEWELS PVT LTD (Maharashtra)

FAQs:
1. What are the growth drivers for the India Gem and Jewellery Market?
Ans. Government Initiatives and GJEPC Driving Forces Behind India's Gem & Jewellery Success and is expected to be the major driver for the India Gem and Jewellery Market.

2. What is the major opportunity for the India Gem and Jewellery Market growth?
Ans. Remarkable Surge in India's Gem & Jewellery Exports Amidst Market Shifts and Rising Gold Prices.

3. Which country is expected to lead the India Gem and Jewellery Market during the forecast period?
Ans. The west India is expected to lead the India Gem and Jewellery Market during the forecast period.

4. What is the projected market size and growth rate of the India Gem and Jewellery Market?
Ans. India Gem and Jewellery Market size was valued at USD 43.71 billion in 2023 and the total India Gem and Jewellery Market revenue is expected to grow at a CAGR of 17.35 % from 2024 to 2030, reaching nearly USD 133.96 billion.

5. What segments are covered in the India Gem and Jewellery Market report?
Ans. The segments covered in the India Gem and Jewellery Market report are by Stone Type, Product Type, Distribution Channel, and Region.