Lab-grown diamond exports expected to grow by 7-9% in FY25: Report

The Lab-grown Diamonds (LGDs) export sector is poised for a revival in FY25, with anticipated growth of 7-9%, reaching around US$ 1,500-1,530 million, according to CareEdge Advisory. Despite a recent decline of approximately 16.5% in FY24, LGD exports are expected to rebound, driven by factors such as competitive pricing, environmental sustainability, and increased competition from India against other major LGD-producing nations., Director at CareEdge Analytics and Advisory, Ms. Tanvi Shah emphasized the industry's reliance on the expanding LGD market to counteract diminished demand for natural diamonds amidst ongoing global disruptions.

Managing Director at Kama Jewellery, Mr. Colin Shah, highlighted LGDs' cost-effectiveness, and eco-friendly appeal, driving demand until FY23. However, subdued sentiment in FY24, influenced by geopolitical tensions and price volatility, led to an overall decline in exports. Nevertheless, countries like Germany, the UK, Italy, and China experienced export surges during FY24, possibly due to the G7 ban on Russian-origin diamonds.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.