Gems & Jewellery Sector May Recover Soon

Gems & Jewellery Sector May Recover Soon - - Reports of increasing consumer spending in the US
According to Press Trust Of India, Indian gems and jewellery exports, which have been declining owing to the global economic meltdown, are expected to recover in the next few months on account of revival of demand in the major market of America.
"We expect that, in June and July, there will be some revival of exports as one of the reports revealed increasing consumer spending in the US," Gems and Jewellery Export Promotion Council Chairman Vasant Mehta said.However, he said that exports would continue to remain down by about 20-30 percent in April and May. As per estimates by the Directorate General of Foreign Trade, the industry has suffered an export order loss of Rs 125.67 crore and cash loss of Rs 49.93 lakh during August-October 2008.The US accounts for 30 to 35 percent of the Indian jewellery exports.The declining trend had begun well before the Christmas season. In fact, the sector's exports had started showing a declining trend from November onwards when it dipped by 34.25 percent as compared to the same period last year. In December 2008, exports had declined by 25.89 percent over the corresponding period last year.Shipments during April-January stood at $16.3 billion against $16.7 billion a year ago.