India's exports of creative goods, a vibrant sector encompassing fashion, art, and design, have posted a robust growth in the first seven months of the current financial year. A strong surge in demand for items like fashion accessories, jewellery, carpets, and toys has powered this upward trajectory, with the United Arab Emirates (UAE) overtaking the United States as the leading destination.
Strong Growth Driven by Fashion and Jewellery
According to an analysis, the exports of creative goods rose by 7.3% year-on-year to $12.5 billion during the April–October period of FY26. This marks a significant increase from the $11.7 billion recorded in the same timeframe last year. The segment, which includes products with creative content and cultural value as defined by UNCTAD, continues to be dominated by fashion accessories and jewellery, which form the bulk of the export basket.
This growth underscores India's strengthening position in the global creative economy. Among developing economies, India was the third-largest exporter of creative goods in 2023, trailing only China and Hong Kong, and accounting for approximately 3% of worldwide exports in this category.
UAE Emerges as the Fastest-Growing Market
A notable shift in trade dynamics has been the rising prominence of the UAE as a key partner. Over half of India's creative goods exports were shipped to just two markets: the UAE and the US. However, the UAE's share has expanded dramatically, rising to 31% in April–October FY26 from 23.2% a year earlier. In contrast, the share of the United States declined to 26.1% from 34% over the same period, making the UAE the single largest destination for these Indian products.
Industry experts point to specific factors behind the export bump. Manu Gupta, Chairman of the Toy Association of India, noted that front-loading of shipments ahead of anticipated US tariffs, coupled with the fulfilment of Christmas orders, provided a significant boost to export numbers.
Expansion Beyond Goods: Services and Trends
The sector's expansion is not limited to tangible products. India's growing role as a hub for outsourcing creative work, such as game development and game support services, has also contributed to the overall growth of the creative economy. This highlights the diverse capabilities within the Indian creative sector.
Within the product mix, new trends are shaping consumer demand. Trade observers highlight that lab-grown diamonds are gaining substantial traction in the fashion jewellery segment. Their affordability, convenience, and alignment with the demand for ethical and sustainable options are particularly appealing to younger, conscious consumers globally. The US, Spain, the UK, the UAE, and the Netherlands remain the cornerstone markets for India's fashion jewellery exports.
The impressive performance of creative goods exports highlights a successful blend of traditional craftsmanship and modern market trends, positioning India as a resilient and evolving player on the global trade stage.
