With shifting consumer preferences towards ethical and sustainable alternatives, lab-grown diamonds are gaining ground on their natural counterparts. Concerns over mining practices, environmental impact, and the high cost of natural diamonds are driving a growing interest in LGDs across global markets.

India, already a leader in diamond processing, is at the forefront of this transformation. It became the world’s largest exporter of LGDs in 2023, accounting for 28.6 per cent of global exports, according to the Gem & Jewellery Export Promotion Council (GJEPC). Additionally, India ranks as the second-largest producer of rough lab-grown diamonds, trailing only China, with a 35 per cent share of global production in 2023.

Surat, Gujarat, the hub of India’s diamond industry, has evolved into a global centre for LGD manufacturing. Known for its traditional diamond-cutting and polishing units, the city now processes 90–95 per cent of the world’s gem-quality lab-grown diamonds. It has adopted cutting-edge chemical vapor deposition (CVD) technology to facilitate sustainable, cost-effective production, and is rapidly scaling up to meet soaring international demand.

Despite its global leadership in exports and manufacturing, India’s domestic LGD jewellery market remains relatively modest, valued at $300–350 million in 2024. However, it is expected to grow at a robust 15 per cent compound annual growth rate (CAGR) over the next decade. Major jewellery retailers and luxury brands are gradually integrating LGDs into their offerings, helping reshape consumer perceptions and expanding market access.

As affordability and sustainability take centre stage, India is not only capitalising on the lab-grown diamond boom — it’s leading the charge.

Source: Deccan Chronicle