US Tariff Removal Expected to Boost Indian Diamond Polishing Sector Growth in FY27

Indian diamond polishers are projected to achieve 6-7% revenue growth in fiscal 2027, reaching $15.0-15.5 billion, supported by the US removing a 25% tariff on Indian gems and diamonds. This follows three years of decline, with fiscal 2026 revenues expected to drop 8-10% due to duty volatility and competition from lab-grown diamonds. However, escalating Middle East conflicts may disrupt trade, as India relies on the UAE and Israel for rough imports and exports. Overall, India's gems and jewellery exports remained flat in FY26, with declines in diamonds offset by growth in other segments.