More than one lakh jobs in India’s jewelery industry are at risk due to fresh American tariffs: jewelery exporter

The recent announcement of US President Donald Trump imposing a 25 percent tariff on Indian imports will severely affect India’s gem and jewelery industry, a major contributor to the country’s export economy, highlighting jewelery makers and exporters in a conversation with ANI.

All India Mani and Jewelry Domestic Council President Rajesh Rabdede said, “Handmade jewelery exports can be barely killed. These products can no longer be accepted or sold there.”
He said that when the US had earlier imposed 10 percent tariffs, around 50,000 workers were allegedly affected in the industry.

“Earlier, when 10 percent of tariffs were there, about 50 thousand people were suspected of being unemployed. If the same pattern is with new tariff hike, this time more than one lakh people can be affected. Such a result would be very unfortunate for the jewelery industry.”

The new tariffs will be implemented from 1 August, Raked said, “It is very sad; the tariff has been increased from 10 percent to 25 percent, which will be implemented from 1 August”.

However, he also shared that it could affect America more than that will affect India.
“Jewelry from India is exported worldwide. In such cases, India had earlier found alternative markets like the European Union and Middle East,” he said.

According to Commerce Ministry data, the United States is one of the largest markets for Indian gems and jewelery, and it exports 9.9 billion USD ornaments to the US in the last financial year.

Kama Jewelery Managing Director Colin Shah also expressed concern over the move.

“With being one of the US major export sites, it will severely affect areas such as gems and jewelery that are very much dependent on exports,” he said.

He said that the industry has already been struggling between Russia-Ukraine and Middle East for more than two years due to geopolitical tension.

He said, “With Trump’s return to power, his tariff threats have created uncertainty in the Indian markets. Moving forward, we hope that business activities with America will remain silent,” he said.

However, the stakeholders of the industry are now ready for the sixth round of the Indo-American bilateral trade agreement set for the end of India, when American counterparts are expected to have a deal or relief when they come to India. (AI)