India’s Jewellery Market To Reach $145 Bn By FY28: Report
As per the report, the country’s jewellery retail sector stood at USD 50 billion in 2018, which then surged to USD 80 billion in 2024
Driven by increasing consumer demand, evolving fashion trends and rising disposable incomes, India’s jewellery market is poised for healthy growth and is projected to reach USD 145 billion by the financial year 2028 (FY28), according to a report by Rediffusion’s Red Lab. The report stated that Indians are redefining festival celebrations, driving the growth of the experience economy while staying connected to the tradition.
The report titled ‘The Timeless Allure of Gold’ highlighted that in the 2023 festive season, this blend of tradition and innovation led to a remarkable 137 per cent increase in gold sales, showcasing the ongoing significance of gold in Diwali celebrations. During this festive season, jewellery shop owners in the national capital are anticipating a significant rise in demand for gold and silver, projecting an increase of up to 30 per cent.
As per the report, the country’s jewellery retail sector stood at USD 50 billion in 2018, which then surged to USD 80 billion in 2024 and now is expected to register a compound annual growth rate (CAGR) of 15 to 16 per cent and reach USD 145 billion by FY28.
In anticipation of heightened festive demand, gold procurements in August surged by an impressive 429 per cent compared to the same period last year. Data from the Ahmedabad Air Cargo Complex (AACC) reveals that Gujarat alone imported 23.7 metric tonne (MT) of gold in August, a figure that is 4.2 times greater than the 4.48 MT imported in August 2023.
The report highlighted the recent move to introduce a reduction in import duties on gold and silver in the Union Budget 2024 from 15 per cent to 6 per cent is likely to have broader economic implications. With lower import costs, it may stimulate consumer spending on gold, further enhancing India’s position as one of the world's largest gold markets.
