Indian jewellery exports to the US declined in 2007 after having witnessed robust growth in the preceding years.

The year 2007 saw a 4.8 percent decline in exports to the US. This is substantial when seen with the nearly 40 percent growth in 2006.

On an average, India has, in the last four years (2003-2006) experienced a 30 percent growth in jewellery shipments to the US.

There has, however, been, no major change in the market share India has in the total imports of jewellery articles by the US.

India, with $2.205 billion accounting for 28.4 percent share (2007) of total jewellery imports of $7.761 billion into US ranks No. 1 amongst all exporting countries to the US.

Clubbed with the turmoil in the US economy, weakness in the dollar, if the negative growth rate can be taken as an indication, then the industry is in for some tough time.

Since the withdrawal of the General System of Preference (GSP) in July 2007 by the US to goods imported from India, the industry has been deprived even of the little breather.

There has been talk of reviving the GSP again, especially in the light of higher sales of Chinese jewellery in the US, increasing trade deficit between US and China, said Mr Rajeev Pandya, President of SEEPZ Gems & Jewellery Manufacturers’ Association.

Now the exporting community in SEEPZ is seeking ways to sell its jewellery in the domestic market.

“As, India itself has turned into a major consuming market for jewellery with almost 20 percent growth per year, we can benefit from selling our products locally,” Mr Pandya added.

Mr. Rakesh Joshi

Joshi Enterprise

Manager, Joshi Enterprise
Dispur, India

Free Member, Joined :02/02/2007
No of Topics Posted : 122
Reply/Comments : 16