India’s Economic Sparkle: GJEPC Chairman on Q1 Growth and Jewellery Demand

As India posts an impressive 7.8% GDP growth in the first quarter of FY26, key voices from the industry are weighing in on what this means for trade, global positioning, and sectoral resilience. Kirit Bhansali, Chairman of the Gem & Jewellery Export Promotion Council (GJEPC), offers his perspective on how this economic momentum is shaping the future of India’s gem and jewellery industry, especially amid rising global challenges.

“India’s 7.8% GDP growth in the first quarter of FY 2026, despite global headwinds like the recent US tariff, reflects the resilience of our economy and the visionary leadership of Hon’ble Prime Minister Shri Narendra Modi. Rising domestic demand for gems and jewellery is creating a strong cushion. This demand will help to ward off some impact out of the 50% import tariff on diamonds that has been put up by the USA.

India has now emerged as one of the leading jewellery consuming markets globally, with diamond jewellery alone accounting for USD 8.5 billion — nearly 10% of world demand. With rising incomes, a young aspirational population, and growing investor confidence, we believe India’s share of global diamond consumption will rise significantly, from the current 10% to as much as 30% in the coming years.

This growth story reinforces India’s position not only as the world’s diamond manufacturing hub but also as one of the most promising consumer markets, offering immense opportunities for global trade and long-term investment.”

Kirit Bhansali, Chairman, GJEPC