India’s reputation as the global hub for diamonds and jewellery continues to grow stronger, with the United States remaining its largest market. For decades, Indian artisans have shaped the country into a leader in the gem and jewellery industry, and today, more than 30 percent of India’s exports in this sector head directly to the US. This partnership has made India indispensable to America’s luxury market, while at the same time highlighting India’s dominance in global craftsmanship.
India’s Craftsmanship, America’s Market
The US has long been the biggest consumer of luxury diamonds, jewellery, and precious stones. From engagement rings to custom-made designer jewellery, American buyers trust India’s artistry and authenticity. The sheer scale of India’s skilled workforce and its ability to combine traditional handcraft with modern technology makes it nearly impossible for the US to look elsewhere.
India currently polishes about 90 percent of the world’s diamonds, a staggering figure that speaks volumes about its dominance. Cities like Surat, often called the “diamond capital of the world,” employ millions of workers who cut, polish, and prepare stones that eventually find their way into jewellery stores across New York, Los Angeles, and other American cities.
Why the US Can’t Look Beyond India
There are several reasons why the US has no real alternative to India when it comes to diamonds:
- Scale and Skill: No other country matches India’s vast network of artisans, cutters, and polishers who bring out the brilliance in rough diamonds.
- Cost Efficiency: India offers world-class quality at competitive prices, something even advanced economies like Belgium and Israel struggle to match.
- Trust and Consistency: Decades of trade relations and transparency in business practices have cemented India as the most reliable supplier.
- Innovation and Technology: Indian jewellery manufacturers are increasingly using AI-driven design tools, lab-grown diamonds, and sustainable practices, keeping the industry future-ready.
The Economic Sparkle
The gem and jewellery industry is one of India’s largest exporters, contributing significantly to the country’s foreign exchange reserves. In the last financial year alone, exports in this sector crossed USD 35 billion, with the US being the single biggest buyer. This trade not only strengthens India’s economy but also generates massive employment—particularly in states like Gujarat, Maharashtra, and Rajasthan.
Beyond diamonds, India is also gaining global recognition for its coloured gemstones and handcrafted gold jewellery. These pieces, often blending tradition with modern styles, appeal strongly to global audiences, especially in markets like the US where Indian designs add cultural richness.
The Rise of Lab-Grown Diamonds
One of the fastest-growing trends reshaping the industry is lab-grown diamonds (LGDs). India has emerged as a pioneer in this field, producing high-quality, sustainable alternatives that are gaining traction in the US. American buyers, increasingly conscious of ethical sourcing and environmental impact, are embracing LGDs, and India is well-positioned to lead this segment too.
Global Recognition
India’s leadership in the diamond and jewellery market is not just about numbers; it’s about artistry. The “Made in India” label in jewellery stands for trust, beauty, and unmatched skill. American celebrities, fashion designers, and even everyday buyers often prefer Indian jewellery because it combines elegance with authenticity.
Looking Ahead
As global demand for diamonds continues, India is expected to play an even bigger role. With the US already relying heavily on Indian exports, and emerging markets like the Middle East and Europe following suit, India’s sparkle on the world stage is only getting brighter.
For India, the challenge now is to maintain its edge by embracing sustainable practices, strengthening its digital presence in e-commerce, and continuing to upskill its artisans. If current trends are any indicator, India is not just the diamond capital of the world—it is the very heartbeat of the global jewellery industry.
