In the last decade alone, the market has nearly trebled in size to about INR22,000 crore (INR220 billion) (see Fig. 12). The brief contraction in 2013, caused by the depreciating purchasing power of the rupee and a weakening of the broader Indian economy, reversed in 2014.
Sustained growth has been driven by a widening consumer base and increasing volumes of diamond jewellery sales. Around 25 lakh (2.5 million) pieces of diamond jewellery were acquired by Indian women in 2013, roughly six times the number acquired in 2002.
As a result, India has risen up the global diamond ‘league table’ and in 2014 the country was the world’s third-largest consumer market for polished diamonds, with an eight per cent share of global demand (measured in polished wholesale value in USD) placing it behind only the US and China (see Fig. 13).