India's gem and jewellery exports fall 34.72% in June

New Delhi: The country's gem and jewellery exports contracted by 34.72 per cent to $1.64 billion (around Rs 12,333 crore) in June due to dip in global demand on account of the COVID-19 pandemic, according to the Gems and Jewellery Export Promotion Council (GJEPC).

The exports stood at $2.52 billion (around Rs 18,951 crore) in June last year. The labour-intensive sector contributes about 15 per cent of the country's overall exports.

"There has been a steady decline in exports as the demand has been going down following global economic slowdown and several restrictions in many countries to curb the spread of Covid-19 pandemic. However, we are seeing demand picking up in China, Europe and Australia," GJEPC chairman Colin Shah said.

During April-June this fiscal, the exports dipped by 54.79 per cent to $2.75 billion as against $6.07 billion in the same period last year.

The decline in shipments is mainly due to negative growth in the export of gold jewellery, and coloured gemstones.

As per the data, gold jewellery exports during the first quarter of 2020-21 declined by 79 per cent to $321.24 million.

Similarly, outbound shipments of coloured gemstones contracted 80.56 per cent in the last fiscal.

But, exports of silver jewellery grew to $324.59 million during the period from $168 million in April-June 2019-20.

India's main export destinations are the US, Europe, Japan and China. America accounts for about one-fourth of the country's total gems and jewellery exports During the quarter, imports of gems and jewellery declined by 74.81 per cent $915.14 million.