The recent slowdown in India’s top export markets, including the US, European Union and Hong Kong has necessitated the need to diversify and scout for fresh markets as Indian Government looks to resuscitate demand for this crucial sector, according to government officials.
In the first quarter of the current fiscal, outbound shipments to the US and Europe fell 28 per cent and nearly 21 per cent, respectively
India is eyeing newer markets, like Japan, South Korea and key nations in Latin America such as Brazil, Argentina and Chile, to tackle the lukewarm demand from traditional buyers of India's gems and jewellery.
The choice of destinations depends on the appetite of these nations and the potential for more exports.
New Delhi is also banking on the India-Australia Economic Cooperation and Trade Agreement (ECTA) that came into force on December 29, 2022, to boost exports, on the back of the preferential zero duty market access to Australia for 100 per cent of its tariff lines, benefiting the labour-intensive gems and jewellery sector.
Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough & Polished
