Mumbai: The Indian gems and jewellery industry is quite optimistic following the geopolitical situation in the Western Europe and Middle East stabilising and the global diamond sector poised for a significant recovery in the coming months.
Mehul Shah, vice-president of Bharat Diamond Bourse (BDB), the world’s largest diamond trading hub in Mumbai, said that the peace talks regarding the West Europe conflict are reaching a logical and peaceful conclusion. This shift toward normalcy, combined with a strengthening US economy and rising consumer purchasing power, is all set to boost the jewelry sales, especially studded diamond jewellery, and positively impact the Indian manufacturing sector.
“We are pretty sure that the peaceful conclusion of the West Europe conflict and the Middle East war is set to increase business stability in the global gems and jewellery industry,” said Shah. “India is the largest manufacturer of diamonds, while the US is the world’s largest consumer of gems and jewellery, especially diamonds”
“As the world’s largest consumer economy, the US is expected to see a significant increase in consumer confidence, which will translate into higher sales volume for the diamonds and fine jewellery segment” said Shah.
Industry stakeholders share this optimism, viewing the current global shift as a
turning point following years of subdued market conditions.
A diamond exporter said, “Indian importers of rough diamonds have brought in more than 10.50 crore carats of rough diamonds, which is much higher than the previous year. There is ample amount of stock in the industry pipeline and the boost in US consumer demand will result in raining moolah for the Indian exporters”.
