The slow demand revival process in the US and Europe might slow down the export growth prospects of gems and jewellery from India in short term, says a study conducted by the Export-Import Bank Of India (EXIM).
The study which describes India as "one of the fastest growing jewellery markets in the world," says the growth in this industry is likely to be driven by growth in jewellery exports to the major markets like the US and Europe as well as demand in the domestic market.
Analysing the trends in the gems and jewellery sector released this week, the EXIM bank has stated that "the demand for this industry which is income-elastic is likely to remain moderate in the near future. The slow demand revival in the US and Europe might slow down the export growth prospects of gems and jewellery from India in short term."
"However, the growth prospects in economies of India, Middle East, Hong Kong and China are expected to help the sector regain its glitter," according to the study projection.