Policies & IssuesApr 11, 2024
SRK Exports’ Journey Toward Net Zero Impact Lab-GrownApr 08, 2024
Indian Lab-Grown Diamond Manufacturers Keep Growing
A combination of factors is driving growth in the industry despite the precipitous drop in prices across the board.
Kira Diam, which bills itself as the largest grower of CVD lab-grown diamonds in the world, installed a 25 megawatt solar plant to power its growing operations. It is one of a number of Indian companies investing in the lab-grown diamond segment despite the stones’ declining price.
Mumbai—India, which has for long worn the mantle of the world’s largest manufacturer of polished natural diamonds, is well on its way to becoming the largest grower and manufacturer of lab-grown diamonds.
The country’s growing capacity has increased in leaps and bounds, perhaps 10 times in about five to seven years, and polished exports have soared.
Growth continued over the past year despite the major decline in lab-grown diamond prices, which fell as much as 70-90 percent in many categories, according to industry analysts.
Smit Patel, a director of Greenlab Diamonds and organizer of the Gem & Jewellery Export Promotion Council’s Lab-Grown Diamond Subcommittee, said, “The lab-grown diamond industry in India is clearly a rapidly expanding segment from whichever angle you look at it.
“There is all-around positivity reflected in the significant rise in the number of lab-grown diamond growers and reactors, as well as in number of people employed by the cutting and polishing segment too.”
Export data compiled by GJEPC underscores this.
In 2023, exports of polished lab-grown diamonds increased by more than 50 percent in volume terms to 6.45 million carats (2022: 4.28 million carats), even as they dropped by almost 20 percent in value terms to $1.38 million (2022: $1.72 million).
Imports of lab-grown rough followed a similar pattern.
In 2023, imports of lab-grown diamond rough rose by 31 percent in volume terms to 31.7 million carats (2022: 17.7 million carats), while in value terms they fell by 24 percent to $1.12 billion (2022: $1.47 billion).
It is widely acknowledged that most new entrants to the market had anticipated the price fall and factored it into their plans.
“The price changes have brought the high-profit phase based on ‘low-hanging fruit’ to an end,” Patel said.
“Yet, growth has continued as improvements in technology coupled with manufacturing at scale means that well-managed operations deliver satisfactory margins even at the lower price levels that now prevail.”
Vijay Desai, a committee member of Surat’s Lab-Grown Diamond Association, said, “Lab-grown diamond manufacturing in India is primarily focused on gem-quality goods for jewelry, and this market has shown significant growth and enormous potential. The city has seen major investments over the last two to three years and there are at least 8,000 machines in operation today.”
Manish Jiwani of Ecolight Diamonds, which set up a production unit in Mumbai a little over a year ago, pointed out that apart from Surat, there are also lab-grown diamond growers in Mumbai and Jaipur.
Those associated with the industry believe that India currently has anywhere between 8,000 to 10,000 reactors, predominantly producing diamonds using the chemical vapor deposition, or CVD, process.
This is double the 4,000 to 5,000 machines observers estimated were in operation about two to three years ago.
This rising rough production (and increasing imports) is being easily absorbed by cutting and polishing units due to a decline in the output of polished natural diamonds.
It is widely estimated that almost 90 percent of companies that earlier cut only natural diamonds have now entered the lab-grown diamond space.
Larger players have bifurcated their units and shifted some part of capacity to polishing lab-grown diamonds while many smaller companies have moved their entire operation to lab grown.
Nirav Jogani of Surat-based Lemon Consultech, a leading consultancy to the industry, said the lab-grown diamond industry has grown into a fairly distinct vertical.
“It is no longer a small, dispersed industry. Consolidation has taken place and there are perhaps 10 or so major player groups, with many of the smaller investors aligned with one or the other,” he said.
The decline in retail prices has not affected sentiment in India, Jogani pointed out.
“Capacity is increasing. CapEx plans are usually drawn up with a horizon of two to three years, so investors do not react to short-term price changes.
“Alterations do take place, so expansion that was planned for, say, a 12-month period may now be spread over a longer time span. Moreover, though the phase of runaway profits is over, current price levels still deliver reasonable margins. This and the enormous latent potential means that the industry remains bullish.”
Kira Diam, which describes itself as the world’s largest grower of CVD lab-grown diamonds, has more than 2,000 reactors at its 700,000-square-foot facility in Surat, set up within the last year.
Mehul Vaghani of New York based Kira Jewels Inc. said, “We maintain an inventory of over 20,000 certified stones which are available for overnight delivery to the U.S. and a total selection of over 75,000 stones from 0.18 carats to 15 carats, round to all fancy shapes in colorless to fancy color range.”
The company will be launching its new jewelry line at the Las Vegas show this year.
Greenlab, an early entrant to the lab-grown diamond segment and another of the larger players, said that it has had “impressive top-line figures” this year as demand is growing significantly.
“The U.S. remains the largest market by far, but there are exciting developments in India, where we receive inquiries from new retailers almost every day, the Middle East and Far East,” Patel said.
Greenlab, which already has a U.S. presence, has recently opened offices in Dubai and Hong Kong.
Many believe the current figures reflect only a small portion of the market’s huge potential.
In addition to the impact of inevitable improvements in technology, there are embryonic signs of maturity with some development of specialized niches.
Patel said in Surat, there are units doing only smaller sizes and others that mainly do large, while a few are focused on special colors and cuts.
All this remains mostly within the lab-grown diamond jewelry space.
The next frontier could be the fashion accessories segment, Patel contends, “which the industry is just beginning to understand. Its requirements are totally different—large quantities of unique sizes, cuts, colors—and more than a few players are already involved in R&D geared towards this sector.”
Jogani, who stressed that natural diamonds fit better into the luxury segment while lab-grown diamonds are more suited for the fashion jewelry space, pointed out that the industry has to undergo a major mindset change.
“Lab-grown diamond manufacturers must not ‘mimic’ the natural diamond industry or focus on competing with it. It must become an independent pipeline and embrace innovation,” he said.
Both Patel and Jogani also believe that industrial applications in electronics, mining, or high-end industries like space exploration are other areas with potential to drive growth in the future.
More on Lab-Grown
The Latest
GradingAug 22, 2025
Former Head of GIA India Promoted to Oversee Global Operations Sriram “Ram” Natarajan is now GIA’s senior vice president of laboratory operations and is based out of the lab’s headquarters in Carlsbad.
CollectionsAug 22, 2025
Piece of the Week: Retrouvaí’s ‘Diamond Vein Bond’ CollarThe one-of-a-kind collar represents the beauty of imperfection and the strength to rebuild.
MajorsAug 22, 2025
Kendra Scott Returns as CEO of Her Jewelry EmpireThree C-suite executives, including former CEO Tom Nolan, have resigned as part of what the company describes as a “transition.”
Brought to you by
Rallying Call for the Jewelry Industry on Tariffs and Other Key IssuesJewelers of America is leading the charge to protect the industry amidst rising economic threats.
MajorsAug 21, 2025
Claire’s Finds Buyer, Could Save up to 950 StoresThe retailer, which recently filed Chapter 11, inked a deal to sell its North American business and intellectual property.
Weekly QuizAug 22, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsAug 21, 2025
Target Names New CEO as Sales Continue to Lag Target CEO Brian Cornell will step down in February and be replaced by the company’s chief operating officer, Michael Fiddelke.
Policies & IssuesAug 21, 2025
JA, IDMA Talk Tariffs With Execs in DC The group met with the president's senior trade advisor earlier this week to express the industry’s concerns about the effects of tariffs.
Brought to you by
Taking the Moment Head On: How Rio Grande Champions the Present & Future of Fine JewelryAs a leading global jewelry supplier, Rio Grande is rapidly expanding and developing new solutions to meet the needs of jewelers worldwide.
MajorsAug 21, 2025
Tiffany & Co. Pops Up at 2025 US OpenThe pop-up will display this year's Tiffany & Co. Singles Championship trophies along with a diamond-encrusted tennis racket and ball.
IndependentsAug 20, 2025
Bellman’s Jewelers Opens Second Store After COO's TikTok Takes OffThe New Hampshire-based store has expanded to Boston, propelled by the success of Alex Bellman’s TikTok page, “The Truthful Jeweler.”
CrimeAug 20, 2025
Another CA Jewelry Store Rammed With Car, RobbedThe latest incident happened Monday at a store in Oakland, California, continuing a pattern JSA first warned about last month.
WatchesAug 20, 2025
Oris Launches Watch Benefiting NYC Harbor Oyster RestorationThe new aqua green New York Harbor Limited Edition II is the watchmaker’s second collaboration with the Billion Oyster Project.
Events & AwardsAug 20, 2025
Take the Jewelers for Children ‘Trinity of Purpose’ ChallengeParticipants who attend any three Rings of Strength events will be awarded a special medal.
SourcingAug 19, 2025
Dubai’s Jemora Group Buys Diamond Miner LucapaThe investment company, founded by Dev Shetty, has acquired the struggling miner and its assets, including the Lulo mine in Angola.
ColumnistsAug 19, 2025
Peter Smith: The Arrival Fallacy and Jewelry RetailSmith shares wisdom he gleaned from a podcast he was listening to one morning while being walked by his dog, a Malshi named Sophie.
CrimeAug 19, 2025
Customs Seizes 7,300 Pairs of Fake ‘Alhambra’ EarringsThe counterfeit Van Cleef & Arpels jewels would have been worth more than $30 million if genuine.
MajorsAug 19, 2025
MJSA Apprenticeship Program Is Nationally RecognizedThe MJSA Mentor & Apprenticeship Program received the Registered Apprenticeship Program designation by the U.S. Department of Labor.
WatchesAug 19, 2025
Casio America Names New Timepiece Division ManagerCasio executive and watch enthusiast Masaki Obu is the new general manager of its U.S. timepiece division.
MajorsAug 18, 2025
Verragio’s Michael Barabash, a ‘Kind Soul,’ Dies at 58Barabash, Verragio’s client relations representative, was a vital member of the team and is remembered as being warm and full of life.
CollectionsAug 18, 2025
John Hardy’s New ‘Dot’ Collection Is on PointOriginally introduced in 1992, the “Dot” collection is back with a capsule featuring five archival designs and three new creations.
Events & AwardsAug 18, 2025
IJO Announces 2025 Vendor of the YearAllison-Kaufman has received the honor for the fourth year in a row.
FinancialsAug 15, 2025
In Q2 Results, Pandora Talks Tariffs, Q4 Plans The company had a solid second quarter, with sales of non-charm jewelry outpacing sales of pieces in its core collections.
EditorsAug 15, 2025
Piece of the Week: Etho Maria’s Showgirl-Approved Ruby Drop Earrings Taylor Swift dons the vibrant pair in new promotional imagery for her upcoming album, “The Life of a Showgirl,” set to release in October.
WatchesAug 15, 2025
Audemars Piguet Acquires Majority Stake in ManufacturerIts investment in micromechanics expert Inhotec will preserve skills essential to the watchmaking industry as a whole, said the company.
MajorsAug 15, 2025
Rio Grande Names New Marketing DirectorNicolette Bianchi joins the wholesale provider with more than 15 years of cross-industry experience in marketing and product development.
CollectionsAug 14, 2025
In Midst of ‘Sardine Girl Summer,’ Pippa Small Looks to ‘Flounder Fall’Her new “Ocean” collection was inspired by Myanmar’s traditional articulated fish jewelry, with depictions of flounder, catfish, and more.
MajorsAug 14, 2025
Casio America Names New CEOLongtime Casio executive Yusuke Suzuki is the new president and CEO of Casio’s U.S. subsidiary.
