Despite the financial turmoil, India’s gems and jewellery exports for the April-September 2008 period grew 16.7%. The gems and jewellery industry recorded exports worth $11billion, the Gems and Jewellery Export Promotion Council (GJEPC) said.
Exports of cut and polished diamonds saw an increase of 21.6% and rough diamond rose 75.6%. However, gold jewelery exports fell 2.2%.
"Import and export of gold has fallen as its supply was not regular. Medium sized exporters could not purchase gold and supply accordingly," said Vasant Mehta, Chairman, GJEPC.
Meanwhile, gems and jewelry imports rose 31.6% to $11.6billion. Import of cut and polished diamonds were 84.6% higher, while rough diamond saw an increase of over 19%.
“The growth in import of rough diamond and cut and polished diamonds is due to the fact that most of the diamond exporters are importing their own diamonds from the US back to the country,” Mehta said.
These importers re-assort and export the diamonds to other countries like Belgium where the demand is high, he added.
“GJEPC is trying to make India a hub for diamond and gemstone trade for which the duty has been reduced to zero, this also has led to more imports of diamonds.”