The gems and jewelry trade between Thailand and the Middle East has flourished, surpassing US$500 million in 2023, with the United Arab Emirates (UAE) emerging as Thailand's top trading partner in the region, official figures indicate. In that year, Thailand exported US$265.37 million worth of jewelry to the UAE alone.
According to a 2022 Global Trade Atlas report, Thailand ranks as the UAE's 21st largest supplier, with gold jewelry and polished diamonds accounting for 81% of total exports. Thailand’s presence extends beyond the UAE, making a significant impact in markets like Bahrain, where gold jewelry dominates, and Kuwait, where Thailand is the fifth-largest jewelry supplier.
Other notable markets include Oman, where Thailand ranks 13th among jewelry suppliers, with top exports including gold jewelry, costume jewelry and coloured stones. Similarly, Qatar and Saudi Arabia are major importers of Thai jewelry, with gold jewelry being the top-selling item in these markets. Despite being a key jewelry producer, Saudi Arabia still relies heavily on imports to meet the demand for modern designs, with Thailand supplying 89% of its gold jewelry imports.
These strong trade relations indicate that the Middle Eastern market is a promising area for Thai businesses to explore further in the jewelry sector.
What makes Thai jewelry so popular?
Thailand's gem and jewelry industry is recognised globally for its depth and craftsmanship. The sector is fully integrated, covering all stages of production, from gemstone cutting to the crafting of fine and imitation jewelry. According to Thailand’s Department of International Trade Promotion Ministry of Commerce, exports account for 80% of Thailand’s production, further reinforcing the country's role as a key player in global jewelry markets.
Several factors contribute to this success:
- Exquisite craftsmanship: Thailand is globally renowned for its handcrafted jewelry that blends cultural heritage with modern designs.
- Gemstone expertise: Thailand is a leader in processing rough gemstones, utilizing advanced techniques such as heat treatment to enhance the brilliance and value of coloured stones.
- International standards: Thailand’s gem testing labs are recognised worldwide, ensuring the quality and authenticity of the jewelry.
- Sustainability and ethics: With a growing focus on ethical practices, Thai jewelers are adopting sustainable practices that align with global trends. This ensures their products not only meet high-quality standards but are also responsibly sourced. Read more about Thailand’s sustainable jewelry here.
- Supply chain transparency: Thai jewelry businesses prioritize transparency in their operations, distinguishing between natural and treated gemstones. This commitment reassures consumers of the authenticity of their purchases.
The Thai jewelry market offers one more draw to Middle Eastern buyers: its traditional gold jewelry. Thai gold jewelry often boasts purity levels as high as 99.9%, differentiating it from mainstream offerings.
How Thailand and the Middle East are strengthening ties for the jewelry trade
Thailand has been actively working to deepen its trade relations with the Middle East through various initiatives. For example, the ASEAN Gems and Jewelry Trade Association (AGJA) and government officials have been engaging with industry leaders and importers in the region, promoting events like the Bangkok Gems and Jewelry Fair and fostering opportunities for Thai SMEs. These efforts highlight Thailand’s commitment to building lasting partnerships with Middle Eastern markets.
A significant milestone in these relations is the Thailand-UAE Comprehensive Economic Partnership Agreement (CEPA), approved in early 2023. By removing import duties on Thai gems and jewelry, CEPA greatly enhances the competitiveness of Thai exports in the UAE. It also lowers international shipping costs for Thai businesses exporting jewelry to the Middle East, making it easier for them to enter and thrive in this key market.
Future trends to note in the Middle Eastern jewelry market
Sustainability has become a key factor in consumer decision-making in the Middle East. A study by Bain & Company found that 64% of regional consumers are highly concerned about environmental issues, with Generation Z and Baby Boomers particularly focused on sustainability. According to the Sustainability Trends Report 2023, 90% of UAE consumers are eager for more information on sustainable practices.
This growing demand for eco-friendly products presents a significant opportunity for Thai jewelry exporters. Thai jewelers are increasingly focused on sustainability, with many adopting ethical sourcing practices and ensuring transparency in their supply chains. Promoting these sustainable practices can help Thai businesses connect better with environmentally-conscious Middle Eastern consumers. This includes the use of green logistics across the supply chain.
Another emerging trend is the growing demand for coloured gemstones, particularly in the UAE. Thailand’s export of coloured stones to the UAE is increasing, driven by the rising popularity of gem-set jewelry among Arab and South Asian communities. This trend offers Thai exporters a chance to expand their presence in the Middle Eastern coloured gemstone market.
Shipping Thai jewelry to the Middle East and beyond
The Middle East is surely a lucrative market for Thai jewelry, but opportunities also abound in other international markets. Thailand's jewelry exports, its Commerce ministry noted, have shown notable growth in countries such as the United States, Hong Kong and Belgium, highlighting the global demand for Thai gems and jewelry.
To tap into these markets successfully, businesses must ensure they understand the regulations in each country, particularly regarding import restrictions and certification requirements.
Working with a reliable international shipping partner like DHL Express opens access to end-to-end logistics solutions that ensure high-value jewelry items are shipped securely to international markets. DHL Express’ services also include expert guidance on how to ship jewelry from Thailand, helping you navigate the regulatory landscape, from customs clearance to shipping documentation required for exports.
Opening a DHL Express business account provides access to competitive international shipping rates, faster customs clearance, and the peace of mind that your jewelry will arrive safely at your customers’ doorsteps.
