Despite dull domestic demand coupled with high gold prices, exports of gold jewellery from the country have actually started showing a positive growth in June.
Gold jewellery exports in June registered a growth of almost 9% at Rs 2,663.50 crore against Rs 2,439 crore during the same period last year, according to the latest data released by Gem & Jewellery Export Promotion Council (GJEPC).
?There is some movement in the overseas market. Despite rise in gold prices over past few months, fresh buying for gold jewellery has been picking up in the past few days,? a leading jewellery exporter said.
Total gem and jewellery export in June stands at Rs 7,992 crore against Rs 8,092 crore last year. Meanwhile, total exports of cut and polished diamonds were down at Rs 5,061 crore in June compared to Rs 5,248 crore in June 2008. ?I think the overall scenario is changing as fresh buying will improve over the next few days and I expect the market for gold and diamond jewellery to revive after September,? Tejas Soni, chief operating officer, KT Inc told FE. Total exports of gems and jewellery during the first three months of the current fiscal 2009-10 fell by nearly 5% at Rs 22,850.64 crore over previous year’s Rs 24,034.08. Meanwhile, during the period under review, net export of cut and polished diamonds declined by almost 13% at Rs 13,494.16 crore against Rs 15,468.89 crore the previous year. ?I think export in terms of value may have gone down but in volume it has improved over the past few months,? a local broker said.
On the other hand, the net import of rough diamonds fell by 32% to Rs 9,006 crore with total imports amounting to Rs 21,640 crore in the three months of 2009-10 compared to Rs 26,587 crores, down by 19%, in 2008-09. Import of gold bars remained steady at Rs 4,398 crore.