Gems & Jewellery

The gems and jewellery sector contributes 7% to India's GDP and 15% of the country's total merchandise exports

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10 SEZs

for Gems & Jewellery in India are home to over 500 manufacturing units, contributing ~30% of the country’s total exports
1 Mn

gem and jewellery units in India employ 4.3 Mn people
~35%

of the Indian jewellery market in CY 2023 was driven by organised retail

Sector Overview

The Indian jewellery market has grown steadily at a CAGR of 12-14% between CY 2021-2023 and currently stands at ~INR 5,562 Bn (~$67 Bn). The Indian Jewellery market is expected significantly to outpace the CAGR of its global contemporaries, with a projected CAGR of 11-13% during 2023 to 2028 v/s that of China (5-7%) and the USA (2-4%)

International investors are increasingly focusing on this sector due to its robust growth potential and favourable government policies. The Indian government has recognized the Gems and Jewellery industry as a priority area for export promotion, allowing 100% Foreign Direct Investment (FDI) through the automatic route. This openness is complemented by various initiatives aimed at enhancing technology, skill development, and infrastructure within the industry. Furthermore, India's strategic position in global trade—accounting for 29% of global jewellery consumption—makes it an attractive destination for investment

The sector's growth is also fueled by evolving consumer preferences, with a notable trend towards lightweight and customized jewellery. The increasing penetration of e-commerce and digital marketing strategies further enhances market accessibility. Additionally, India's rich heritage in craftsmanship combined with modern design innovations positions it uniquely in the global market

With a significant share of polished diamonds exported worldwide and a growing demand for ethical and sustainable practices, the Gems and Jewellery sector in India presents a compelling opportunity for international investors looking to capitalize on a dynamic and expanding market.

10 SEZ

located in Mumbai, Surat, Jaipur, Delhi, Kolkata, Visakhapatnam, Hyderabad, Chennai, Cochin and Noida

47%

of the net exports of $4.29 Bn from the SEZs come from studded gold jewellery

Why Invest in Gems & Jewellery

Global Leadership in Manufacturing and Trade

India leads global diamond processing, handling approx. 90% of cutting and polishing, and is one of the largest gold consumers with a strong jewellery culture. Key hubs like Surat (diamonds), Jaipur (gemstones), and Mumbai (export trade) reinforce its global leadership, offering high-quality, cost-competitive craftsmanship.
Strong Domestic and Export Demand

India’s Gems & Jewellery sector contributes 10-12% of the country’s total merchandise exports, with markets in the USA, Europe, and the Middle East being key destinations.
Proactive Government Policies and Incentives

The government offers 100% Foreign Direct Investment (FDI) under the automatic route. Special Notified Zones (SNZs) for diamond trading and incentives for jewellery parks provide infrastructure and regulatory support to attract foreign players.
Focus on Skilling and Innovation

The government, in partnership with industry bodies like the GJEPC & GJSCI, emphasizes skilling initiatives to maintain a competitive edge in craftsmanship and design.