The jump in gold imports in October was mainly due to festival and wedding demand, says Kirit Bhansali of GJEPC

India’s gem and jewellery sector has continued to show steady strength this year, even with global markets facing uncertainty. According to the report, export numbers for April to October touched US$16.26 billion. This was a slight fall of 2.72% in dollar terms, but in rupee terms, exports rose by 0.86% to ₹1,41,101.69 crore, showing the sector’s ability to stay stable during difficult times.

“I am encouraged to see strong year-to-date growth in key segments such as gold jewellery, silver jewellery, and platinum jewellery, supported by sustained retail demand across major international markets. These trends underline the inherent strength and adaptability of our industry,” says Kirit Bhansali, Chairman of GJEPC.

He noted that the rise in these product categories has boosted overall performance, even though a few markets have been less active this year.

Bhansali says that, as expected, October 2025 was a softer month. This is a normal yearly pattern, according to the report, because global retailers complete their holiday buying in August and September, while domestic manufacturers slow down during the Diwali break. “At the same time, demand in a few key markets remained uneven due to tariff-related uncertainty in the U.S. and continued softness in China. These factors together created a temporary dip, but they do not alter the broader positive direction of the industry’s performance over the fiscal year so far,” he said.

He notes that these fluctuations are temporary and do not signal any lasting weakness.

He states that early signs indicate buyers are returning with stronger inquiries in the coming months. “Looking ahead, we see strong foundations for a steady rebound. The Government’s continued support — through the Export Promotion Mission, the Credit Guarantee Scheme for Exporters, and the RBI’s trade-relief measures — directly addresses long-standing pain points such as high-cost finance, tight liquidity, extended export cycles, and limited access for smaller exporters. These reforms are already improving competitiveness by easing access to credit, reducing compliance burdens, and strengthening branding, certification, and market-entry support. I believe this policy framework creates a far more enabling environment for growth and stability in the months ahead,” said Bhansali.

According to him, exporters feel these measures are helping them plan better. He adds that several industry groups are preparing new outreach programmes to support this momentum. “We are also actively expanding India’s presence in high-potential markets, including the Middle East, Latin America, Cambodia and Vietnam. Our trade delegations, buyer–seller meets, and promotional initiatives are opening new avenues for exporters and strengthening long-term partnerships. The India–UK Free Trade Agreement will further enhance our competitiveness, much like the India–UAE CEPA, which has significantly boosted exports of gold and diamond jewellery,” he added.

On the domestic front, Bhansali explains that the jump in gold imports in October was mainly due to festival and wedding demand, improved consumer liquidity following GST changes, and a sharp rise in global gold prices. In actual weight, imports rose only 2.3% between April and October, from 461.85 tonnes to 472.53 tonnes. This shows that people bought nearly the same quantity but paid more because prices were higher.

With India’s unique strengths in design, craftsmanship, technology adoption, and manufacturing scale, combined with an increasingly supportive policy ecosystem, the sector is well-positioned to navigate short-term fluctuations and move confidently toward sustainable, long-term growth.