Colin Shah, MD, Kama Jewelry said on Outlook for Lab Grown Diamond Exports for FY25, Lab Grown Diamonds (LGDs) have been the talk of the town ever since consumers realised the cost-effectiveness and environment-friendly aspects of this product category.

The demand for LGDs in domestic and international markets has been progressing upwards until FY23. The dampened sentiment during FY24 was owing to multiple factors that influence the global economic factors like the constant geo-political tensions, and volatility in price trends that have led to decline in overall exports.

On the contrary, countries like Germany, UK, Italy and China saw a surge in exports during FY24 which may be attributed to G7 ban on Russian-origin diamonds.

While the downtrend has led a severe hit for the overall fondness towards LGDs, the way forward looks promising for revival of demand. This comes with a backdrop of a decline in natural diamond prices triggered due to weak purchasing power, which in turn sets the ground for LGD demand to flourish.