Gems & Jewellery

India is positioning itself to dominate the global lab-grown diamond market, fueled by government initiatives like a 15-year income tax exemption for rough diamond trading and the ₹50,000 crore India Jewellery Park project, aiming to process over 90% of the world's cut and polished diamonds. Simultaneously, the traditional jewelry sector demonstrates robust growth, exemplified by Shankesh Jewellers' 55% year-over-year revenue increase in Q1 FY27 and a doubling of profit margins. While Mini Diamonds experienced a 40% revenue surge, net profit declined, highlighting challenges in the market, and companies like Neogem India face significant operational and financial distress. These developments underscore a dynamic landscape where both lab-grown and traditional diamond segments are evolving, presenting both opportunities and risks for investors.