Gems and jewellery exports continued to be in the negative zone for second month in January, declining by nearly 4% to $3.28 billion, due to less demand from the US and European markets.
The exports stood at $3.4 billion in the same period last year, according to the data provided by Gems and Jewellery Export Promotion Council (GJEPC).
After witnessing peak growth of 33% in May this fiscal, gems and jewellery exports entered into the negative zone down 15% in December compared to the same period last year.
"There has been a demand slowdown for our products mostly from the western markets like the US and EU due to fragile economic growth," a GJEPC official said.
Besides this, the major markets for the country's gems and jewellery exports include the UAE and Hong Kong.
Among the segments which have registered maximum growth, gold exports have topped the chart witnessing 28% growth, followed by coloured gemstones 24% and gold medallions and coins about 15%, during the period under review.
During the April-January period this fiscal, these exports have grown 10% to $35.4 billion compared to the same period last fiscal.
To reduce dependence on traditional markets, the exporters are exploring new markets like Latin America, Africa and Russia.
India mainly imports gold and rough diamonds in large quantities and re-exports value-added items like jewellery.
