Editor’s Note
A new study by India’s Exim Bank and the GJEPC projects the country’s gems and jewellery exports could reach $75 billion by 2030, identifying $38 billion in untapped potential. This analysis highlights a significant growth trajectory for a key export sector.
India’s gems and jewellery exports are poised for significant growth, potentially reaching $75 billion by 2030. This projection comes from a new study by the Export-Import Bank of India (Exim Bank) and the Gems and Jewellery Export Promotion Council (GJEPC). The report, titled ‘Making Gems and Jewellery Clusters Exportable,’ identifies a substantial unrealised export potential of $38 billion within the sector.
To capture this growth, the study recommends a strategic diversification into high value-added product segments. This includes areas such as diamond-studded jewellery, lightweight gold pieces, luxury smart jewellery, imitation jewellery, synthetic gemstones, astrology-inspired designs, and cultured pearls. Concurrently, the report advises market diversification, focusing on emerging economies like Vietnam, Singapore, Thailand, Russia, and Sri Lanka, alongside established markets such as Singapore and the European Union.
Strengthening policy support is a key recommendation, with suggestions for state-level incentives like capital subsidies and SGST reimbursements. Streamlined clearance processes and design-led incentive schemes to foster innovation are also proposed. Enhancing infrastructure is identified as critical, advocating for a hub-and-spoke model for Common Facility Centres and expanding Special Economic Zones (SEZs) in Surat and Jaipur. Improved international flight connectivity to manufacturing clusters such as Agra and Thrissur is also flagged as a priority.
The study points out existing customs-related challenges, including limited airside access for custodians in Jaipur and inadequate appraisal facilities in Ahmedabad and Rajkot. The lack of risk-based sampling needs urgent attention to smooth export flows. For branding, leveraging existing Geographical Indication (GI) tags and pursuing new registrations are advised. Boosting e-commerce exports through dedicated logistics hubs and simplified returns mechanisms is also part of the strategy.
Bridging technology gaps requires a dedicated Technology Upgradation Fund and stronger industry-academia partnerships for R&D. Addressing the significant skill gap involves establishing recognised training centres, promoting apprenticeships, and developing a digital skill registry for artisans. Improving access to raw materials, such as duty-free gold in smaller denominations, and easing customs for coloured gemstones are also crucial. For financial access, particularly for MSMEs, greater awareness of export factoring and supply chain finance solutions is recommended.