Gem & jewellery exports dazzle in 2004-05

Exports of gem and jewellery from India, worth Rs 38,900 crore in 2000-01 and Rs 59,900 crore in 2003-04, has in the first 10 months (April 2004-January 2005) of the current financial year crossed Rs 60,000 crore.

Exports of gem and jewellery were Rs 42,886 crore between April 2003 and January 2004.

"We expect gem and jewellery exports to touch Rs 70,000 crore before the end of the financial year and to cross Rs 80,000 crore by 2007," Bakul Mehta, chairman of the Gem & Jewellery Export Promotion Council (GJEPC), said.

Exports of cut and polished diamonds were Rs 31,026 crore in the April 2003-January 2004 period, against Rs 38,985 crore in the corresponding period of the current fiscal year.

Gold jewellery exports jumped by over 75 per cent, from the April 2003-January 2004 figure of Rs 5473 crore to Rs. 9613 crore in April 2004-January 2005.

The exports of coloured gemstones rose from Rs 575 crore in April 2003-January 2004, to Rs 632 crore in April 2004-January 2005.

Exports of pearls, non-gold jewellery and synthetic stones increased from Rs 383 crore in April 2003-January 2004 to Rs 478 crore in April 2004-January 2005.

Only one sector witnessed negative growth in this period - rough diamond shipments were worth Rs 2124 crore in April 2003-January 2004 but fell to Rs 1167 crore in April 2004-January 2005.

This is a good sign, said industry sources.

"Rough diamonds are imported into India for cutting and polishing. Some of these rough diamonds, which are not suitable for any use, and are known as rejects, are sent back. The decline in exports of rough diamonds means that the quantity of unprocessed diamonds being sent back has reduced. This is a positive sign, and the diamond industry will benefit from it," Chandrakant Sanghvi, regional convener of GJEPC in Gujarat, told Business Standard.