Hong Kong Strengthens Its Role in India’s Export Strategy as High-Value Shipments Climb

• India’s exports to Hong Kong rose $955 million year-on-year to $4.97 billion in April–November FY26, driven by high-value goods.

  
  

• Cut and polished diamonds led growth, contributing nearly $477 million to export gains.

  
  

• Electronics, silver jewellery and processed stones saw strong demand, deepening supply-chain links.

  
  

• Hong Kong’s share in India’s exports increased, supporting diversification amid higher US tariffs.

Hong Kong is increasingly positioning itself as an important market for India’s premium exports, including silver jewellery, electronics and processed stones, with shipments rising sharply during the April–November period of FY26. Exports to the territory grew by $955 million compared to the same period a year earlier, reaching a total of $4.97 billion.

Cut and polished diamonds were the main driver of this expansion. Exports in this segment rose to $2.61 billion from $2.13 billion a year earlier, accounting for nearly half of the overall increase. According to an assessment by the commerce and industry ministry, diamonds alone contributed roughly $477 million to the year-on-year growth.

Officials noted that Hong Kong’s role in regional trade is evolving. Traditionally viewed as a conduit for accessing the Chinese market, the territory is now being seen as a potential bridge for deeper commercial engagement with India as economic ties between India and China continue to expand.

The strengthening of exports to Hong Kong comes at a critical time for India, which is actively broadening its export footprint following the imposition of steep tariffs—up to 50%—by the United States since August 27. In this context, Hong Kong’s growing importance offers Indian exporters an alternative and relatively stable destination.

Currently, Hong Kong ranks as India’s 10th largest export market. Its share in India’s total merchandise exports has increased to 1.7%, up from 1.4% in the corresponding period last year, underlining its rising significance in India’s trade portfolio.

Officials attribute this growth to strong demand for high-value and commodity-oriented products, particularly gems, jewellery and electronics. These trends, they said, reinforce Hong Kong’s position as a major trading and re-export hub within East Asia.

Electronics exports showed especially robust momentum. Shipments of electronic goods—led by telecommunications equipment—more than doubled to $387 million during April–November FY26, pointing to deeper integration between Indian manufacturers and regional supply chains. Additional support came from silver jewellery exports, which climbed to $550 million, and synthetic or restructured stones, which rose to $229 million from $135 million a year earlier.

Experts observed that the surge in exports of electronics, silver jewellery and high-end stones such as diamonds reflects a combination of genuine market diversification and trade-routing dynamics. Together, these factors are helping Hong Kong assume a more prominent role in India’s evolving export strategy.