Story Highlight
– Organised gold jewellery players to capture 45% market share.
– Indian jewellery market grew from $48B to $90B.
– Significant growth projected to $150B by FY33E.
– Weddings drive 50-55% of jewellery market demand.
– Organised players adapting with e-commerce and innovative strategies.
Full Story
Players in the Indian gold jewellery sector who operate in an organised fashion are anticipated to outpace the overall industry growth rates and secure a market share of 45% by the financial year 2030, as outlined in a report by Nomura. The Indian jewellery market has undergone substantial growth recently, increasing from $48 billion in FY2018 to an anticipated $90 billion by FY2025, which equates to a compound annual growth rate (CAGR) of 9%. Projections suggest that the market could reach $150 billion by FY2033.
The report indicates that between FY2018 and FY2025, organised players in the sector expanded at a rate 1.5 times greater than the market average, achieving a CAGR of 14%. Their market share increased from 30% in FY2018 to 40% in FY2024, with expectations to rise to 45% by FY2030.
Nomura attributes this growth to India’s deep-rooted cultural connection to jewellery, with weddings—accounting for 50-55% of the overall jewellery market—serving as a critical demand driver. With approximately 25% of the population in the age range suitable for marriage, the number of individuals eligible is projected to increase from 365 million in 2023 to 390 million by 2030. Additionally, the rising income levels among consumers are boosting demand in the daily wear and fashion jewellery sectors.
Furthermore, the report highlights that organised enterprises benefit from a framework of regulations, superior craftsmanship, and stringent standards regarding purity and transparency—essential qualities in a sector where trust is paramount.
In light of the challenges posed by high gold prices, these players have adapted by offering innovative solutions such as instalment payment plans, gold exchange programmes, and lightweight jewellery options. They are also tapping into the growing e-commerce market, which currently only accounts for 6% of sales, and expanding into underserved Tier 2, Tier 3, and Tier 4 regions. Such strategies are believed to enable organised players to continue outperforming the industry as a whole.
Jewellery purchases span across diverse economic classes and are a fixture in the discretionary spending category. As India’s wealthier population continues to grow, demand for jewellery is anticipated to remain robust, positioning organised players as key participants in the sector’s transformation.