Surat: India’s gems and jewellery trade witnessed mixed trends up to September 2025, shaped by contrasting global and domestic factors. Despite the impact of U.S. tariffs, exports of cut and polished diamonds remained robust, while rising gold and silver prices kept profit margins for diamond and jewellery companies thin. Ahead of the festive season, gold and silver imports saw a notable surge.

In September 2025, exports of natural cut and polished diamonds rose to USD 1.36 billion, up from USD 1.29 billion in September 2024. This growth came despite the 50% U.S. tariff imposed in August. Although the tariff, effective August 27, had initially raised concerns of a sharp export slowdown, exporters strategically shipped record volumes before the deadline. Earlier this year, ahead of the 26% tariff that came into effect on April 9, India exported USD 1 billion worth of gem and jewellery (GJ) products between March 28 and April 4. A similar surge occurred in July, with gross GJ exports rising to USD 2.17 billion from USD 1.87 billion in July 2024.

Industry analysts noted that these shipments largely reflected strategic stock transfers to U.S. offices rather than immediate sales. Even so, the rise in CPD exports in September signals renewed consumer demand.

In response to U.S. tariffs, several Indian exporters have begun exploring new strategies, including setting up finishing units in third countries or advancing shipments to the U.S. before tariff deadlines — a practice seen in previous years.

India also expanded its export footprint through global trade platforms such as the Saudi Arabia Jewellery Exhibition 2028 (SAJEX 2028), held from September 11–13. Organized with support from the Gem and Jewellery Export Promotion Council (GJEPC), the event aimed to strengthen trade partnerships with the Middle East.

Additionally, the recently signed India-UK Free Trade Agreement has given the sector a further boost by removing 2–4% export duties on gems and jewellery, a move expected to enhance India’s competitiveness in the UK market over the next few years.

In contrast, polished lab-grown diamond exports fell from USD 120 million in September 2024 to USD 107 million this year. Plain gold jewellery exports also declined 7%, from USD 396 million to USD 367 million. However, studded gold jewellery exports rose 8%, reaching USD 725 million compared to USD 670 million last year. DeshGujarat