Why are jewellery stocks rising today?

Jewellery stocks surged sharply on Monday, February 9, after India and the US issued a joint statement outlining the framework for an Interim Trade Agreement (ITA), a first step towards a broader Bilateral Trade Agreement (BTA). The announcement brought tariff clarity for export-linked sectors, with the gems and jewellery space emerging as a key beneficiary.

Buying across the jewellery pack

Buying interest was visible across the jewellery segment through the session. Kalyan Jewellers India jumped over 11 per cent, while Senco Gold rose nearly 7 per cent. P N Gadgil Jewellers gained about 6 per cent, and Thangamayil Jewellery climbed over 5 per cent.

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Shares of PC Jeweller advanced around 4 per cent, while Titan Company was up close to 2 per cent, as investors priced in a stronger export outlook following the trade agreement framework.

At around 10:49 am, Senco Gold was trading at Rs 349.50, up 5.03 per cent. Kalyan Jewellers was at Rs 418.75, higher by over 10 per cent. Titan Company traded near Rs 4,222, up around 1.9 per cent.

Why the trade framework matters

The US remains one of the largest consumption markets for Indian jewellery exports. Market participants said the proposed deal could directly support manufacturers, exporters and organised retailers with global exposure.

Under the framework, the US will apply an 18 per cent reciprocal tariff on Indian goods such as jewellery, textiles, leather, plastics, rubber and certain chemicals, while also outlining the potential removal of reciprocal tariffs on a wider basket of products over time.

In return, the US will receive tariff cuts across food and agricultural products, along with long-term commitments from India, including planned purchases worth $500 billion over five years. The framework also proposes the removal of the 25 per cent Russian oil-related duty on Indian imports, subject to conditions on energy sourcing, with a monitoring mechanism in place.

Boost for the sector

Industry participants said clearer tariff visibility could help revive export volumes that have remained under pressure in recent years. They added that improved policy certainty is likely to restore confidence across the jewellery value chain and support medium-term growth for organised players with export exposure.