Thailand's gems and jewellery exports are expected to grow by 20% this year after purchase orders rose significantly over the first seven months of 2022.
Speaking after presiding over the opening ceremony of the 67th Bangkok Gems & Jewelry Fair at Impact Muang Thong Thani, Commerce Minister Jurin Laksanawisit said the value of gems and jewellery exports, excluding gold, reached US$4.48 billion in the first seven months of 2022, a rise of 37.6% year-on-year.
He attributed the robust growth mainly to Thais' manufacturing mastery, skilled artisanship, and elaborate craftsmanship in polishing, forging and design.
"Given this level of expertise, the ministry's policy is to support the organisation of international trade fairs to make Thailand one of the world's main gems and jewellery hubs," said Mr Jurin.
Gems and jewellery is a major Thai industry, with more than 90% of its businesses small and medium-sized enterprises, employing 664,000 people throughout its supply chain.
Exports of gems and jewellery ranked fifth last year in terms of total shipment value, trailing automobiles and auto parts, computers and parts, rubber products, and plastic pellets.
Last year Thai gems and jewellery export value (excluding gold) rose by 26.9% from the previous year to reach $6.16 billion. With gold included, which has volatile swings in value, exports fell to $10 billion last year, a decline of 44.8%.
Markets that recorded strong growth of Thai gems and jewellery exports included the UK (up by 135% year-on-year), Switzerland (up 70.4%), India (up 60.7%), the US (up 51.3%), the United Arab Emirates (up 29.8%), Belgium (up 21.2%), Australia (up 10.7%) and Japan (up 6.49%).
Important export products that recorded significant growth were platinum jewellery (up 51.9%), polished hard gems (up 38.5%), polished and cut diamonds (up 35.1%), gold jewellery (up 31.8%), silver (up 24.1%), silver jewellery (up 21.7%), sapphires (up 17.4%) and polished artificial jewellery (up 9.7%).
Mr Jurin said he directed the ministry to pursue a proactive export policy to promote Thailand as a global gems and jewellery hub and to create partnerships in target industry markets by entering into mini free-trade agreements (FTAs), focusing on cities, states and provinces. The ministry signed a mini-FTA with the city of Kofu in Yamanashi Prefecture, a hub of Japan's gems and jewellery sector, in July 2021 to promote cooperation and business development.
Prapee Sorakraikitikul, an advisor to the Thai Board of Trade, said Thailand's gems and jewellery trade has fared better than expected and she believed exports in 2022, excluding gold, were likely to grow by more than 20% from a year earlier.
Yet she admitted purchase orders may drop slightly in the fourth quarter thanks to slowing economies in markets such as Europe, the US and China.