Representative image of diamonds.
Credit: iStock photo.
Mumbai: India's cut and polished diamond exports in 2023/24 plunged 27.5 per cent from a year ago to a Rs 1.33 lakh crore due to sluggish demand from the United States, China and the United Arab Emirates, a leading trade body said on Monday.
The fall in exports forced the world's biggest diamond polisher to reduce imports of rough diamonds by 18 per cent from a year ago to Rs 11.89 lakh crore in the financial year ended March 31, the Gem and Jewellery Export Promotion Council (GJEPC) said.
In response to lower demand for exports, the industry voluntarily suspended rough diamond imports for two months from October 15, 2023.
The suspension of rough diamond imports helped address demand-supply imbalances, leading to a positive impact on polished diamond prices in the March quarter, said Vipul Shah, chairman of the GJEPC.
"GJEPC is discussing with global diamond miners to increase investments in enhancing generic promotion of diamonds and diamond jewellery in the United States, China, Middle East including India," Shah said.
India's plain gold jewellery exports surged nearly 62 per cent in 2023/24 to Rs 5.66 lakh crore as shipments to United Arab Emirates (UAE) more than doubled due to the Comprehensive Economic Partnership Agreement, signed between India and the UAE, Shah said.