India’s gem and jewellery industry is poised for a major export boost as the India–UK Free Trade Agreement (FTA) comes into effect on July 15, offering duty-free access to the UK market for a broad range of jewellery products. Industry leaders expect the landmark trade pact to enhance the global competitiveness of Indian exporters, increase bilateral trade, and create new growth opportunities in one of India’s key export destinations.
The agreement is expected to eliminate import duties on Indian gem and jewellery products entering the UK, making them more price-competitive against supplies from other global manufacturing hubs. Exporters believe the tariff concessions will encourage higher demand for Indian-cut and polished diamonds, gold jewellery, silver jewellery, coloured gemstones, and other value-added jewellery products.
The UK is among the important overseas markets for India’s gem and jewellery sector, which contributes significantly to the country’s merchandise exports and provides employment to millions across mining, processing, manufacturing, and retail segments. The removal of tariff barriers is expected to help Indian companies expand their market share, particularly among premium and luxury jewellery buyers.
Industry bodies have welcomed the implementation of the FTA, stating that it will strengthen long-term trade relations between the two countries while encouraging greater investment and collaboration across the jewellery value chain. The agreement is also expected to benefit micro, small, and medium enterprises (MSMEs), which account for a substantial share of India’s jewellery manufacturing ecosystem.
Apart from improving export competitiveness, the trade pact is expected to simplify market access, reduce trade-related costs, and facilitate smoother business operations for exporters. Companies are expected to leverage the agreement to diversify product offerings, strengthen distribution networks, and build stronger partnerships with UK retailers and wholesalers.
India remains one of the world’s largest centres for diamond cutting and polishing and a leading exporter of gold and studded jewellery. With duty-free access to the UK market, exporters anticipate stronger order volumes, improved profitability, and greater resilience amid evolving global trade dynamics.
The India–UK FTA is expected to deepen economic cooperation between the two countries across multiple sectors, with the gem and jewellery industry emerging as one of the key beneficiaries. As the agreement takes effect, exporters are optimistic that the enhanced market access will support sustained export growth, generate employment, and further strengthen India’s position in the global jewellery trade.