Credit squeeze, GST hiccups dent India's gems and jewellery exports in FY19

Shipments decline by over 3% as high import duty on polished diamond adds to list of impediments; no improvement in situation seen in current fiscal

Gems and jewellery exports from India declined 3.12 per cent in 2018-19 owing to credit crunch, delays in GST (goods and services tax) refunds, and high import duties on polished diamond. Industry captains don’t see improvement in export in FY20 either.

Data compiled by the Gems and Jewellery Export Promotion Council (GJEPC) showed gross gems and jewellery exports from India was $39.68 billion in 2018-19, compared to $40.96 billion in the previous year. 

Gross cut and polished diamond exports from India, however, remained stable at $23.82 billion during 2018-19 (FY19) against $23.72 billion in the previous year.

The decline in exports of gems