While the gem and jewellery sector faces challenges due to various global factors, studded gold jewellery exports from India are growing steadily. Exports of studded gold jewellery went from $2.7 billion in the 2020-21 financial year to $6.1 billion in 2024-25.

Indian exports of plain gold jewellery went from $2.04 billion in 2020-21 to $5.1 billion in 2024-25.

The major factor affecting gold jewellery exports is skyrocketing gold prices. Industry leaders said that due to the rising prices, people are buying jewellery that has less gold and is studded with natural or lab-grown diamonds (LGD).

"As gold prices are rising, customers are managing costs by buying studded jewellery that looks good with less gold. This has created an opportunity for Indian manufacturers, as we can use locally manufactured diamonds," said Kirit Bhansali, chairman of the Gem and Jewellery Export Promotion Council (GJEPC).

Jewellery manufacturers can compete in the global market on prices of studded gold jewellery as the diamonds, whether natural or LGD, are manufactured locally. For LGDs, the entire process is in-house, from growing to jewellery.

The growth in studded gold jewellery exports also shows the development of infrastructure for studded jewellery. Diamond units are expanding their jewellery-making facilities, while designer jewellery manufacturing units are also emerging.

"Export-oriented businesses are coming up after growing in the local market. The local market for studded jewellery is also growing, which is creating a strong platform for exports," said an industry expert.

LGD jewellery is providing a better footing to studded jewellery manufacturers due to the competitive prices of diamonds. Lightweight gold jewellery made with LGD is attracting the youth, many of whom replace their jewellery articles after a few months.

Experts say studded gold jewellery is set to grow further, as people have the options of natural and lab-grown diamonds. In both segments, gold jewellery exports are set to grow.

Courtesy: TOI