Key points
- India’s Directorate General of Foreign Trade (DGFT) has imposed strict restrictions on the import of plain silver jewellery, citing a steep rise in shipments entering the country from Thailand.
- According to the Ministry of Commerce, these curbs were deemed necessary after trade data showed an unprecedented surge in silver jewellery imports during the April to June 2025 quarter.
- Authorities believe this step will restore balance in the market, shield Indian artisans and manufacturers from unfair competition, and protect thousands of jobs that rely on the jewellery sector.
Bangkok Gems News: Rising Silver Imports Trigger Government Action
India’s Directorate General of Foreign Trade (DGFT) has imposed strict restrictions on the import of plain silver jewellery, citing a steep rise in shipments entering the country from Thailand. The decision, announced through Notification No. 34/2025-26 on September 24, 2025, aims to curb misuse of Free Trade Agreements (FTAs) and prevent unfair practices that are harming domestic jewellers. According to the Ministry of Commerce, these curbs were deemed necessary after trade data showed an unprecedented surge in silver jewellery imports during the April to June 2025 quarter. This Bangkok Gems News report highlights that industry insiders have long been voicing concerns over the loopholes in FTAs that allowed massive inflows disguised as finished jewellery.
India cracks down on silver jewellery imports from Thailand after record surges threaten domestic jewellers
Image Credit: StockShots
Data Shows a Dramatic Surge
The statistics paint a clear picture of why action was urgently needed. India’s silver jewellery imports ballooned to $235.1 million in April–June 2025, compared with $63.4 million in the same quarter last year—a staggering 270.6% increase. Thailand was the biggest contributor, with imports rising from $50.9 million to $219 million, a jump of 330%. The trend showed no signs of slowing in July 2025, as overall silver jewellery imports rose to $148.5 million, compared with just $41.8 million in July 2024. From Thailand alone, imports increased to $142.7 million, reflecting a nearly 288.5% rise in a single month.
Protecting Domestic Jewellers and Workers
Government officials say that many imports were exploiting FTAs, undermining Indian manufacturers and threatening employment opportunities across the jewellery industry. By allowing unrestricted entry, the inflows placed small and medium enterprises under severe pressure, with domestic producers struggling to compete with the surge of low-cost imports. The Ministry of Commerce emphasized that the new rules are not meant to disrupt legitimate trade but rather to ensure a level playing field.
New Import Authorization Rules
Under the revised framework, importers will now require a valid authorisation from DGFT before bringing in plain silver jewellery. This move is designed to filter out questionable consignments while safeguarding the interests of genuine traders. Authorities believe this step will restore balance in the market, shield Indian artisans and manufacturers from unfair competition, and protect thousands of jobs that rely on the jewellery sector.
Industry Impact and Future Outlook
Industry observers expect the decision to reshape trade flows between Thailand and India in the coming months. While some traders may face delays or increased paperwork, the long-term effect is likely to be positive for local silver jewellery producers who have been losing ground. The government’s action sends a clear signal that it is willing to intervene when foreign trade practices endanger domestic industries. For now, the spotlight will remain on how Thailand’s exporters adjust to the stricter regulatory environment and whether Indian jewellers can reclaim their share of the growing silver jewellery market.
The move by DGFT reflects India’s commitment to securing its jewellery sector from external pressures. By tightening control over imports, the government hopes to protect employment, encourage local craftsmanship, and reinforce the resilience of its domestic industry. Such measures may also act as a precedent for other categories of jewellery if similar trade imbalances arise in the future.
For the latest on the silver jewelry industry in Thailand, keep on logging to Bangkok Gems News.
