GJEPC Leads Rs 150M Campaign as India Surpasses China in Diamonds

Surat : Forget the United States and China; diamantaires in Surat and Mumbai have their sights set on India, which has surpassed China in natural diamond consumption.

For the first time, the Indian diamond industry, through the Gems and Jewellery Export Promotion Council (GJEPC), has raised Rs 150 million for consumer education and awareness of natural diamond jewellery in India. The GJEPC has requested government co-funding for a similar amount in order to reach a larger consumer base and promote natural diamonds in India. 

The GJEPC hopes that this jointly financed campaign would improve consumer education, generate interest, and boost confidence in natural diamonds among Indian customers. This will be supplemented by a marketing push throughout India.

Vipul Shah, chairman of GJEPC, stated, “Like the consumer education campaign during the BIS hallmarking in gold a few years ago, we want to run a similar education campaign to promote natural diamonds in India.” We have already earned Rs 150 million through crowdfunding, and we want the government to give an equal amount to help our campaign in India.

According to Shah, India has surpassed China as the second largest diamond consumer market after the United States. Domestic consumption of diamonds and jewelry is $85 billion, and it is predicted to reach $120 billion in 2030. India’s GDP is currently around 3.5 trillion dollars, but it is anticipated to grow to 7.9 trillion dollars by 2030. The Indian market is seeing significant expansion in the desired items sector, which includes the gem and jewellery industry.

The global diamond jewellery market is valued $89 billion. The United States is the world’s largest consumer of polished diamonds and diamond-studded jewelry, with India coming in second, followed by China and the Middle East.

“India is primarily a gold consumer market.” However, in recent years, diamonds have become the most popular stone in gold jewellery. According to a top GJEPC official, diamonds are used in around 40% of the gold jewelry sold in the Indian market. 

GJEPC  has appealed to the Indian government for policy measures to boost the sector’s global competitiveness and foster growth. 

GJEPC chairman Vipul Shah  presented recommendations during a pre-budget discussion with Finance Minister Nirmala Sitharaman in Delhi last week, the council said. He highlighted the industry’s need for enhanced infrastructure, global promotion initiatives and tax clarifications to address ongoing challenges. 

Shah thanked Sitharaman for reducing the import duty on precious metals in the last budget, “a move that has spurred unprecedented growth in the sector,” he noted. “This is evident from the multiple stock market listings of family-run jewelry businesses, the expansion of major retailers overseas, and the planned opening of 3,000 retail outlets in the next two years, creating…employment opportunities across the country.”