Demand from Western markets makes up 60% of exports
India’s gems and jewellery exports have jumped by almost 22 percent year-on-year to $2.86bn in January, reports The Hindu Business Line.
The jump is said to be due to healthy demand from Western markets like the US and Europe.
Chairman of India’s Gems and Jewellery Export Promotion Council (GJEPC), Rajiv Jain, said: "We are witnessing good demand for gems and jewellery exports from the US, European and Gulf markets. In fact, we are expecting the jewellery exports to surpass the target of USD 30billion in 2010-11."
The council also feels that the country’s gems and jewellery exports may rise by 17.8 percent to $33bn in the current fiscal vis-a-vis the last financial year. The US, along with the 27 nation bloc European Union, accounts for over 60 percent of the country’s total gems and jewellery exports.
Exports of cut and polished diamonds saw the maximum growth of 23.44 percent in January, followed by gold jewellery (15.38 percent) and coloured gemstones (3.8 percent), as per the GJEPC data.
During the April 2010-January 2011 period, exports of precious items increased by almost 39 percent to $30.59 billion in comparison to the same period last fiscal.
India’s jewellery exports came under pressure during the global financial crisis around two years ago, which saw a substantial drop in demand in Western markets.bTo reduce dependence on the West, Indian exporters are also exploring new markets like South America and East Asia.