Kashmir Impulse Desk
Mumbai, Sep 13
India should control the entire lab-grown diamond ecosystem and develop globally dominant brands, Union Home Minister Amit Shah said on Sunday, forecasting a potential 50-fold expansion in the market by volume.
Speaking after presenting the 52nd India Gem & Jewellery Awards in Mumbai, Shah said India had the infrastructure, skills, capital and trading expertise needed to capture the opportunity.
“In terms of volume, the market for lab-grown diamonds is poised to expand to nearly 50 times the size of the current diamond market,” Shah said.
He urged Indian jewellers to control the entire supply chain, from manufacturing machinery and diamond production to jewellery, branding and overseas showrooms.
The central government will introduce a policy for the sector, while Gujarat and Maharashtra are also working on policies, Shah said.
“India should emerge as a founder member and founder industry in the lab-grown diamond business, while Indian brands should become global brands,” he said.
Shah said India’s gems and jewellery trade with the world dates back nearly 6000 years and described Surat and Mumbai as important centres of the industry.
He said nine out of 10 diamonds in the world were cut, made and designed in Surat, while the city accounted for about 90 percent of diamond cutting.
India’s gems and jewellery exports reached Rs 2.44 lakh crore in 2025, accounting for 6.3% of total merchandise exports, Shah said. The sector provides direct or indirect employment to about 75 lakh people.
More than 90 percent of cut and polished diamonds are processed in India, while jewellery is exported to markets including the United States, Europe, West Asia and Hong Kong, he said.
Shah said free trade agreements with the European Union, UAE, Australia, Oman and Britain would help expand exports.
He also cited a 15-year income tax exemption for companies involved in rough diamond trading in special notified zones under the Taxation and Other Laws (Amendment) Act, 2026.
The Bharat Ratnam mega common facility centre spans 1.25 lakh square feet and offers facilities including 3D printing, casting and refining, he said.
The proposed India Jewellery Park is expected to attract Rs 50,000 crore in investment and generate nearly one lakh direct and indirect jobs, Shah said.
He also linked the sector’s prospects to broader economic growth, citing 7.8 percent first-quarter GDP growth and India’s move from the “Fragile Five” grouping in 2014 to the world’s top five economies.
