India’s gems and jewellery exports slip 2% in May to $2.05 billion amid gold shortage and weaker demand

India’s gems and jewellery exports fell 2% year on year in May to $2.05 billion, as gold availability tightened and uncertainty linked to the US–Iran war weighed on demand. Gold jewellery exports dropped 15%, while gold used for export production in April–May declined 21% to 11 tonnes from 14 tonnes a year earlier. The gold import duty was raised to 15% from 6%, and regulatory bottlenecks in bank channels further squeezed supply and lifted costs. The development reinforces gold’s scarcity-driven cost support and is a short-term catalyst for higher prices.