Dubai’s jewellery wholesalers said they reduced purchases from India because tourists were not coming to the country amid the pandemic
Exports of plain gold jewellery from India to Dubai fell 24% in April-November compared to the pre-Covid-19 period as the pandemic took the sheen off the biggest overseas market for local traders.
Dubai’s jewellery wholesalers said they reduced purchases from India because tourists were not coming to the country amid the pandemic.
Dubai Gold Suk is otherwise a major attraction for tourists and they visit it to buy gold jewellery. Dubai is also a major hub from where gold jewellery is exported to other markets. Gold jewellery from Mumbai and Kolkata is the most in demand among the tourists and nations to which Dubai exports.
Tourist flow has come down due to Covid, which is one of the reasons why the offtake has come down.
Overall gold jewellery exports in April-November fell 23.82pc as compared to in April-November 2019. Gold jewellery exports in November fell 33.83pc compared to in November 2019.
Overall gems and jewellery exports fell 3,72pc in November, compared with November 2019. The decline was expected due to the break in manufacturing activity during Diwali.
However, overall exports of gems and jewellery grew 9.21pc in the April-November period, compared to the corresponding period of 2019.
The major export markets were the US (38.33pc), Hong Kong (24.46pc), the UAE (13.87pc), Belgium (4.10pc) and Israel (3.84pc).
“India’s gem and jewellery export performance through 2021 has been far ahead of our expectations this time last year,” said Colin Shah, chairman, Gem and Jewellery Export Promotion Council (GJEPC).
“The good news is that the world’s biggest jewellery consuming nation, the US, has increased purchases from India this year. We expect to achieve the export target of $41.65 billion this fiscal year,” he added.