India emerges as the world’s second-largest diamond jewellery market 

India’s natural diamond jewellery market, currently at Rs 49,700 crore, is racing toward Rs 1.5 lakh crore by 2030, capturing a powerful 12% share of the $44 billion global market.The Indian diamond jewellery market has entered a transformative era, officially overtaking China and Japan to become the second-largest market globally, according to the 2025 De Beers India Diamond Acquisition Study (DAS). Capturing a 12% share of global demand, India’s Natural Diamond Jewellery (NDJ) market is currently valued at Rs 49,700 crore and is projected to reach Rs 1,50,000 crore by 2030. This growth is underpinned by a seismic shift in consumer behaviour, led by a new generation of buyers who view diamonds not as dormant assets, but as essential elements of their daily identity.

• India processes about 90% of global rough diamonds by volume, with Surat as the primary cutting-polishing hub, making gems and jewellery a major export industry.
• India has total diamond resources estimated at 31.72 million carats as of 2020, with the vast majority (over 90%) located in Madhya Pradesh.
• In FY2025-26, India’s gems and jewellery exports reached $27.72 billion; cut and polished diamonds contributed $12.16 billion (43.9%) despite global demand pressures.
• Diamond jewellery taxation is 3% GST on jewellery, 1.5% GST on cut-polished diamonds, 5% customs duty on imports, with select small-diamond IGST exemptions 

The study identifies Generation Z as the undisputed powerhouse of the Indian diamond market. Contrary to global narratives, young Indians are embracing natural diamonds with unprecedented enthusiasm, with Gen Z (aged 18-28) now generating a staggering 51% of the total market value, a 19% increase since 2022. This demographic now records the highest average price paid per piece at Rs 1,98,000, driven by high acquisition rates and a desire for authentic luxury. When combined with millennials, these two groups, consisting of 86% of the Indian diamond jewellery market value, signal a long-term youth-led expansion that is reshaping the luxury landscape.