In the financial year spanning April 2025 to March 2026, India's gem and jewelry export sector showcased a period of strategic adjustment and diversified growth, achieving a total value of ₹2,44,827.26 crore. Although this represented a modest 0.93% increase in rupee terms compared to the previous year, the dollar equivalent of US$27.72 billion experienced a slight dip of 3.32% year-on-year. This performance unfolded against a backdrop of global economic volatility, evolving trade policies in the United States, and geopolitical tensions in West Asia, highlighting the industry's adaptability and move towards broader market engagement.

A significant strategic pivot by Indian exporters involved broadening their market reach and enhancing value-added product segments. While the American market saw a downturn due to tariff-related uncertainties, other regions such as the UAE, Hong Kong, Australia, and Canada registered substantial growth. Notably, Free Trade Agreements (FTAs) with the UAE and Australia were instrumental in fostering this diversification and maintaining a positive growth trajectory. For instance, exports to the UAE saw a robust increase of 10.52%, totaling US$8.70 billion for the fiscal year. Australia also emerged as a strong growth market, with an impressive 38.33% increase, underscoring the critical role of FTAs in building a resilient export ecosystem. The anticipation of new FTAs with the UK and EU is expected to further bolster India's gem and jewelry exports in the coming year.

Looking at specific product categories, cut and polished diamonds continued to be the leading export, contributing 43.9% of the total, despite an 8.52% decline to US$12.16 billion due to tariff adjustments, inventory corrections, and shifting consumer spending habits. Conversely, gold jewelry exports remained stable at US$11.36 billion. Within this, plain gold jewelry saw a 7.42% decrease, while studded gold jewelry experienced a 6.27% increase, signaling a consumer preference for higher-value, design-centric items. Silver and platinum jewelry exports demonstrated remarkable surges of 52.21% and 39.32% respectively, driven by increasing global demand and affordability. Lab-grown diamonds, while seeing a decline in polished form, noted a significant 31.30% growth in studded gold jewelry applications, indicating evolving product segmentation. Major regional contributions came from the Western Region, including Mumbai, which led with US$18,579.41 million, and the Gujarat Region, a key diamond processing hub, contributing US$2,400.61 million.

This dynamic period for India's gem and jewelry exports illustrates a commendable commitment to innovation and global integration. The industry's proactive measures in diversifying markets and adapting to international trade complexities not only secure its present but also pave the way for a more stable and prosperous future. Through strategic partnerships and an emphasis on varied product offerings, India continues to solidify its position as a major player in the global gem and jewelry landscape, fostering economic growth and opportunity.