Since 2018, India's import and export trade of cultivated diamonds has grown rapidly. In just five years, the import volume of cultivated diamond blanks increased from $80 million in 2018 to $1.474 billion in 2022, and the trade scale expanded nearly 19 times. The export value of finished diamond products has also increased from $117 million to $1.715 billion, and the trade scale has expanded 15 times.
I. India's import and export trade of cultivated diamonds declined in 2023
After the rapid development of the diamond industry in 2020-2022, it entered the adjustment period in 2023. Affected by multiple factors such as the sharp decline in the price of cultivated diamond embryos and the increase in the production of cultivated diamonds in India, India's import volume of cultivated diamond embryos in 2023 was $1.110 billion, down 25% year-on-year compared with 2022; India's export value of finished cultivated diamonds was $1.368 billion, year-on-year-year 20 It has decreased by 20% in 22 years.
II. India still needs to import a large number of diamond hair embryos from abroad
Although the Indian government has continued to increase its support for the diamond cultivation industry in recent years, in 2022 alone, it has successively issued a series of policies such as exempting the electricity tax in the process of cultivating diamonds, abolishing the import tax on cultivating diamonds, formulating a loan policy to support the import of breeding diamond production equipment, and setting up a diamond cultivation research and development centre. Policy to help India gain more market share in the upstream of the global diamond industry chain. It may be affected by production technology, diamond quality and production capacity. India still needs to import a large number of cultivated diamond embryos from abroad. In 2023, the import of cultivated diamond embryo accounted for more than 80% of the import of finished diamond products.
III. India's import and export market share of cultivated diamonds has declined.
With the continuous progress of diamond cultivation technology, the world's diamond production capacity continues to rise. At the same time, more and more brands have begun to join this field. Consumer awareness and acceptance continue to increase, and consumer demand has expanded. However, due to intensified market competition and a large price decline, India cultivates the export market of finished diamonds. The growth rate of the proportion of the amount has slowed down. In 2023, India's exports of finished cultivated diamonds were $1.368 billion, accounting for only 7.3% of India's total exports of natural diamonds and finished cultured diamonds of 18.645 billion US dollars, an increase of only 5% compared with 2022. In the future, the competition in the diamond industry will be more concentrated in the downstream market. Only by providing high-value-added diamond products can the cultivation diamonds gain a greater share in the market.
Source: Cultivate Diamond LGD