INDIA’S GEM AND JEWELRY EXPORTS UP 6.32% IN FY 2005-06
Tacy, Israel/17 April 2006
India’s gem and jewelry industry has witnessed a growth of 6.32 percent for financial year 2005-2006. Total gem and jewelry exports reached US$16.67 billion as compared to US$15.68 billion in the same period last year.
The growth in the sector was primarily driven by the cut and polished diamonds segment, which witnessed an increase of 6.07 percent. The export sales of cut and polished diamonds grew to US$11.86 billion during financial year 2005-2006 from US$11.18 billion in the corresponding period in financial year 2004-2005, while total volumes of cut and polished diamonds increased to 43,272,000 carats during financial year 2005-2006 as compared to 47,947,000 carats in the corresponding period in financial year 2004-2005.
Gold jewelry exports registered a growth of 1.28 percent with exports recorded at US$3,861.57 million in financial year 2005-2006 as compared to US$3,812.88 million in financial year 2004-2005. Colored gemstones grew by 21.05 percent to US$233.32 million in financial year 2005-2006 as compared to US$192.75 million in financial year 2004-2005.
“Industry through its consistent efforts has shown immense fortitude and has managed to maintain its year on year growth of the total gem and jewelry exports. The gem and jewelry sector continues to be the frontrunner and highest contributor to the total value addition of the country, contributing US$3.5 billion in FY2006. Industry for last few years have grown consistently at 15 percent to 20 percent. The last two quarters of FY 2005-06 have witnessed diminishing exports. This is primarily because of market slow down in USA, the largest export destination for Indian gem and jewelry sector. Industry has achieved remarkable growth in its previous years and now it has reached a stage where it needs to consolidate and focus on value addition and increasing the value chain. Industry marks the year 2005-06 as ‘year of consolidation’ and looks forward to transform and establish itself as a trading hub for gem & jewelry globally,†says Bakul R. Mehta, Chairman of the Gem & Jewellery Export Promotion Council (GJEPC) of India.
The United States, Hong Kong and United Arab Emirates were the top export markets for India’s gem and jewelry products accounting for 28 percent, 21 percent and 15 percent of the total exports followed by Singapore and Belgium accounting for 9 percent and 8 percent respectively.
On the import front, total imports of gem and jewelry grew by 11.79 percent with imports increasing from US$11,640.21 million in financial year 2004-2005 to US$13,013.11 million in financial year 2005-2006.
Rough Diamonds were imported to the tune of US$8,708.98 million, while cut and polished diamonds were imported to the value of US$3,009.02 million.
