Gems, jewellery exports down 15.81 pc to USD 2,263 mn in May: GJEPC
India's gems and jewellery sector faces a downturn in May 2025. Exports and imports witness a decline. This is due to global economic uncertainties and geopolitical issues. Cut and polished diamonds and lab-grown diamonds also see a drop. Gold jewellery exports buck the trend with positive growth. Industry experts hope for improved sentiments following US-China trade talks.
Tired of too many ads?
Remove Ads
Tired of too many ads?
Remove Ads
The overall gross exports of gems and jewellery in May 2025 stood at USD 2263.42 million (Rs. 19260.81 crores), showing a decline of 15.81% compared to USD 2688.38 million (Rs. 22414.02 crores) for the same period last year, according to figures released by the Gem & Jewellery Export Promotion Council ( GJEPC ).On the other hand, the overall imports of gems and jewellery for May 2025 stood at USD 1689.61 million (Rs. 14393.12 crores), showing a decline of 12.96% as compared to USD 1941.29 million (Rs. 16184.80 crores) for the same period last year. This can be attributed to the economic uncertainties surrounding the tariffs levied by Trump as well as the continuation of geopolitical tensions which has been pushing the demand downwards.The overall gross export of cut and polished diamonds declined by 35.49% in May 2025, standing at USD 949.70 million (Rs. 8089.81 crores) compared to USD 1472.08 million (Rs. 12272.03 crores) for the corresponding period last year. This is due to the slowdown in demand for this product category in major consumer markets like the USA and China.Similarly, the growing affirmation of consumers towards a more sustainable and cost-effective category like lab-grown diamonds is another reason which is impacting the demand for natural diamonds.Similarly, the overall gross imports of cut & polished diamonds saw a decline of 38.76% in May 2025, which stood at USD 84.80 million (Rs. 722.74 crores) when compared to USD 138.47 million (Rs. 1154.4 crores) for the same period last year.Gross imports of rough diamonds stood at USD 2262.21 million (Rs 19311.73 crores) in May 2025, showing a decline of 5.46% as compared to USD 2392.87 million (Rs. 19949.36 crores) for the same period last year. This can be attributed to weaker demand from key markets like the US and China. Moreover, falling prices coupled with oversupply is another factor leading to a decline in imports as traders look forward to clearing the existing inventories during such times.The provisional gross export of polished Lab Grown Diamonds during May 2025 stood at USD 80.90 million (in Rs. 689.71 crores), showing a decline of 32.76% as compared to USD 120.32 million (Rs. 1003.06 crores) for the previous year. This is due to the subdued demand in the overseas markets, primarily the US and China, resulting in overall weakened demand as both these countries are key export destinations for India.The total gross export of gold jewellery in May 2025 stood at USD 997.50 million (Rs. 8482.61 crores), showing a growth of 17.24% as compared to USD 850.81 million (Rs. 7094.52 crores) for the same period of last year. This can be attributed to the evolution of gold becoming more than just an investment asset but also a daily-delight jewellery which is increasingly being preferred by buyers across the globe.Provisional gross export of coloured gemstones in May 2025 stood at USD 62.51 million (Rs. 533.08 crores), witnessing a marginal decline of 1.13% compared to USD 63.22 million (Rs. 527.36 crores) for the same period last year. Being a niche product category, the consumption tends to oscillate as per the demand. Nevertheless, this product category remains immune to any macro factors and can bounce back stronger.Commenting on the same, Mr. Colin Shah, MD, Kama Jewelry said, 'The consistent decline of exports rolling over in May 2025 can be attributed to the uncertainties that followed the tariffs announcement by Donald Trump. This cast a shadowing effect on the domestic market, which is still navigating with the knee-jerk reaction that followed post-Trump's tariff wave. To add to this, the prolonged geopolitical tensions in the Middle East and Russia-Ukraine continue to disrupt the demand-supply dynamics, adding further woes to the already ailing sector. However, the peaceful trade talks between the US and China bring in some relief, which is expected to lift the sector's sentiments.'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
12 minutes ago
- Economic Times
Higher crude oil prices a net positive for upstream cos, possibly for OMCs too: Kotak Equities
The recent rise in crude oil prices may prove beneficial not only for upstream oil companies but also for oil marketing companies (OMCs), according to a report by domestic brokerage firm Kotak Institutional Equities. ADVERTISEMENT In a recent note, the brokerage highlights that the latest rally in oil prices, with Brent crude being up 15% since early June, could aid upstream companies such as ONGC and Oil India by lifting their net realizations and earnings. "Brent has moved up to US$85/bbl from US$74/bbl earlier in the month," the brokerage said, adding that every US$1/bbl increase in Brent prices adds Rs 2.4–2.5/share to ONGC's EPS and Rs 3.5–4/share to Oil India's EPS, assuming no changes in government levies. According to Kotak, ONGC's base case assumes an oil price of US$80/bbl Interestingly, the brokerage also sees the potential for OMCs to benefit from higher oil prices under current market conditions. 'Oil marketing companies (BPCL, HPCL, IOCL) may benefit too, if the government maintains current pump prices,' Kotak stated. The report notes that despite the recent increase in Brent prices, auto fuel prices have remained unchanged in India, implying potential margin expansion for OMCs. ADVERTISEMENT "OMCs are seeing marketing margins rise to Rs 5.6/liter for diesel and Rs 7/liter for petrol," the report stated, assuming average Brent at US$85/bbl and a USD/INR exchange rate of Kotak points out that HPCL's marketing EBITDA was Rs 3.5/liter in FY24, suggesting that current margin levels may offer substantial upside if they persist. The firm acknowledges that while refining margins remain modest, the improving marketing profitability may offset those concerns. ADVERTISEMENT On refining, the brokerage notes that gross refining margins (GRMs) continue to be relatively weak, with Singapore complex GRM currently at US$3.5–4/bbl, and diesel cracks at US$13–14/bbl, which are below seasonal averages. Also read: HDB Financial Services GMP at 6.3% ahead of IPO. What should investors do? ADVERTISEMENT Nevertheless, the note emphasizes that product cracks are not as weak as GRMs suggest, and that the margins are still acknowledging the volatility in the crude market, Kotak Institutional Equities underlines that higher oil is unequivocally good for upstream companies and may not hurt OMCs in the near term either. ADVERTISEMENT The brokerage firm also stated that it continues to prefer ONGC and Oil India among upstream players and maintains a 'buy' rating on both stocks. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
Economic Times
12 minutes ago
- Economic Times
IdeaForge bags around Rs 137 crore drone order from Indian Army
Drone technology firm ideaForge Technology has secured an order worth about Rs 137 crore for hybrid mini unmanned aerial vehicles systems from the Indian Army through the emergency procurement route, the company said on Monday. ideaForge said a key requirement during the assessment for the selection of unmanned aerial vehicles (UAV) was that all critical sub-components must be sourced from non-border-sharing nations, and that the platform be substantially indigenous in capability and design. "ideaForge Technology has secured a significant win through the emergency procurement route. The order, valued at approximately Rs 137 crore, has been placed by the Indian Army for its high-performance hybrid Mini UAV systems, which are already battle-tested and inducted into the Army's inventory for ISR (Intelligence, Surveillance, and Reconnaissance) operations," the company said in the statement. The company has its research and development and manufacturing units in Navi Mumbai, Bengaluru, Delhi, and the US.
Hindustan Times
14 minutes ago
- Hindustan Times
Hague NATO summit aims to focus on Trump's spending goal but Iran looms large
* Hague NATO summit aims to focus on Trump's spending goal but Iran looms large Leaders set to agree to spend 5% of GDP on defence * US strikes on Iran could overshadow gathering * Spain insists it can spend less than new target * NATO aims to keep Trump on board despite previous criticism By Andrew Gray and Sabine Siebold THE HAGUE, - The NATO alliance has crafted a summit in The Hague this week to shore itself up by satisfying U.S. President Donald Trump with a big new defence spending goal - but it now risks being dominated by the repercussions of his military strikes on Iran. The two-day gathering is also intended to signal to Russian President Vladimir Putin that NATO is united, despite Trump's previous criticism of the alliance, and determined to expand and upgrade its defences to deter any attack from Moscow. The summit and its final statement are meant to be short and focused on heeding Trump's call to spend 5% of GDP on defence - a big jump from the current 2% goal. It is to be achieved by investing more in both militaries and other security-related spending. Spanish Prime Minister Pedro Sanchez, however, upset NATO Secretary General Mark Rutte's preparations on Sunday as he declared Madrid did not need to meet the new spending target even as Spain approved the summit statement. Ukrainian President Volodymyr Zelenskiy has had to settle for a seat at the pre-summit dinner on Tuesday evening - rather than a formal session with the leaders when they meet on Wednesday - due to his volatile relationship with Trump. The U.S. bombing of Iranian nuclear sites at the weekend makes the summit much less predictable than Rutte - a former prime minister of the Netherlands hosting the gathering in his home city - and other NATO member countries would like. IRAN INTRODUCES UNCERTAINTY INTO SUMMIT Much will depend on the precise situation in the Middle East when the summit takes place - such as whether Iran has retaliated against the U.S. - and whether other NATO leaders address the strikes with Trump or in comments to reporters. If the meeting does not go to plan, NATO risks appearing weak and divided, just as European members confront what they see as their biggest threat since the end of the Cold War - Russia - while bracing for possible U.S. troop cuts on the continent. Under the new defence spending plan, countries would spend 3.5% of GDP on "core defence" - essentially, weapons and troops - and a further 1.5% on security-related investments such as adapting roads, ports and bridges for use by military vehicles, protecting pipelines and deterring cyber-attacks. Such an increase - to be phased in over 10 years - would mean hundreds of billions of dollars more spending on defence. Last year, alliance members collectively spent about 2.6% of NATO GDP on core defence, amounting to about $1.3 trillion, according to NATO estimates. The lion's share came from the United States, which spent almost $818 billion. US DEMANDS EUROPE SPEND MORE ON ITS OWN DEFENCE Washington has insisted it is time for Europeans to take on more of the financial and military burden of defending their continent. European leaders say they have got that message but want an orderly and gradual transition, fearful that any gaps in their defences could be exploited by Putin. They are particularly keen to stress their spending commitment as Trump has previously threatened not to protect allies that do not spend enough on defence. A prepared text summit statement agreed by NATO governments and seen by Reuters says: "We reaffirm our ironclad commitment to collective defence as enshrined in Article 5 of the Washington Treaty - that an attack on one is an attack on all." As part of their efforts to keep Trump onside, NATO officials have shunted difficult topics to the sidelines of the summit or kept them off the agenda altogether. While many European nations see Russia as an ever-growing threat, Trump has expressed a desire for better economic relations with Moscow - a prospect that Europeans think would help Russia to strengthen its military and threaten them more. Similarly, many Europeans are deeply wary of Trump's moves to lessen Russia's diplomatic isolation as part of his efforts to secure a deal to end the war in Ukraine. The brief summit statement will include just one reference to Russia as a threat to Euro-Atlantic security and another to allies' commitment to supporting Ukraine, diplomats say. This article was generated from an automated news agency feed without modifications to text.
