Gems and jewellery units to miss the sparkle again: Crisil SME Tracker

Small and medium enterprises (SMEs) in the gems and jewellery sector appear set to take a blow from the Covid-19 pandemic for the second year on the trot, in the current fiscal year (FY22). 

The first quarter bore the impact of lockdowns imposed by states to contain the second wave of infections. SMEs, which make up two-thirds of the sector by value, were hit hard — especially those focussed on domestic demand.

As a result, although these units will likely grow 15-20 per cent year-on-year (YoY) in value terms this fiscal, it will be on a much lower base.

Domestic demand, which comprised