Local gem industry bets on reforms to push exports past US $ 400mn in 2025

PIC BY KITHSIRI DE MEL

By Nishel Fernando

Sri Lanka is targeting gem and jewellery export earnings of at least US $ 400 million this year, a significant jump from 2024, as the government begins to streamline the historically complex sector with new policies and a bold long-term vision. 

The optimistic outlook was shared by the top officials at the launch of the Gem Sri Lanka 2026 exhibition, organised by the Ceylon Gem and Jewellery Traders Association (CGJTA) in Colombo.

Export Development Board Chairman Mangala Wijesinghe revealed that the sector, which earned US $ 202 million in 2024, is already on a strong growth trajectory. 

“In the first seven months (of 2025), we have already reached close to US $ 200 million,” he announced.

This performance is bolstered by a recent surge, with the sector showing over 15 percent growth in July 2025 compared to the same month last year. Based on this momentum, Wijesinghe expressed confidence in the new target. 

“Hopefully, this year we can reach more than US $ 400 million but our expectation is an average of US $ 700 million. I know that this industry can deliver that target,” he said.

To support this growth, the government has already taken concrete steps. Wijesinghe highlighted the recent implementation of a VAT refundable system at the international airport and noted that two more industry-friendly proposals are under consideration by the recently reactivated Export Development Council of Ministers.

While the immediate target is promising, the government is aiming for a much larger transformation. Industries and Entrepreneurship Development Deputy Minister Chathuranga Abeysinghe delivered a candid assessment of the industry.

However, he asserted that the government is now committed to providing the necessary resources to resolve these long-standing problems and implement policies that would establish Sri Lanka as a premier global gem hub.

Abeysinghe stressed that the vision goes far beyond minor gains. 

“Incremental 05 percent or 10 percent growth in these sectors is not what the government is looking for. We are looking at bold steps ahead. Our dreams have to be bold enough to reach heights which we have not imagined previously to ensure that Sri Lanka is not targeting US $ 1 billion but US $ 10 billion going forward,” he declared.