India’s gem and jewellery exports stood at $4.27 billion (Rs. 40,398.97 crore) during April-May 2026, compared with $4.55 billion (Rs. 38,848.42 crore) in the corresponding period last year. Exports declined 6.03% in dollar terms but increased 3.99% in rupee terms.

According to the data, the decline was primarily driven by a sharp fall in plain gold jewellery exports. Shipments in this category dropped 40.11% year-on-year to $635.95 million, down from $1.06 billion in April–May 2025.

Kirit Bhansali, Chairman, GJEPC, said, “Studded Gold Jewellery exports grew 6.71% year-on-year to $964.02 million during April–May 2026, compared to $903.37 million in the corresponding period last year. This growth reflects the positive impact of India's Free Trade Agreements (FTAs), which are enhancing market access and strengthening the competitiveness of Indian jewellery exports in key markets.”

He added, “However, the main concern remains Plain Gold Jewellery exports, which declined sharply by 40.11% year-on-year to $635.95 million during April-May 2026 from $1.06 billion in the corresponding period last year. One of the key reasons for this decline has been the tightening in gold imports, which has affected the availability of gold for export manufacturing. We have taken up this matter with the Government and are hopeful of a positive resolution.”

GJEPC estimated that gold consumption for export production declined to 11 tonnes during April-May 2026 from around 14 tonnes in the corresponding period last year, representing a reduction of nearly 21.4%.

Bhansali further said, “We have also noted with concern that gold availability from banks has been affected due to certain regulatory bottlenecks, creating additional challenges for exporters. These issues have been further compounded by a sharp rise in gold prices.” The average gold price during the period increased 45.69% year-on-year to $4,723.88 per troy ounce from $3,242.48 per troy ounce.

He also noted that the increase in gold import duty from 6% to 15% has raised the landed cost of gold while Duty Drawback rates remain unchanged, affecting exporter competitiveness and margins. “The export industry is presently facing a serious liquidity and raw material availability crunch. We have been engaging with the Government on these issues on an urgent basis and remain confident that appropriate corrective measures will be taken to support export growth and strengthen the sector's global competitiveness,” he said.

On market access, Bhansali stated, “We are encouraged by the successful commencement of jewellery exports to Oman under the India-Oman CEPA,” adding that the agreement could support plain gold jewellery exports. He also expressed optimism regarding the proposed Bilateral Trade Agreement with the United States and progress on a trade agreement with Canada.

Commenting on diamonds, Bhansali said, “The diamond exports have remained steady, and we are working closely with the Government to enhance the competitiveness of India's diamond industry.” He added that GJEPC is seeking regulatory and tax-related reforms to facilitate rough diamond trading from India.

Product-wise, cut and polished diamond exports declined 9.06% to $1.87 billion, while total gold jewellery exports fell 18.59% to $1.60 billion. Studded gold jewellery exports increased 6.71% to $964.02 million, polished lab-grown diamond exports rose 1.98% to $194.78 million, silver jewellery exports increased 172.53% to $365.77 million, platinum jewellery exports grew 24.97% to $41.22 million, and coloured gemstone exports declined 10.04% to $55.93 million.