As the Swiss watch industry's global exports soften, India is emerging as one of its brightest markets, fuelled by first-time luxury buyers, expanding premium retail and lower trade barriers.
When Swiss watchmakers reviewed the first half of 2026, India stood out for more than just growth. The country imported 200,000 Swiss watches in the first six months of 2026, up nearly 37% from a year earlier, while the value of those imports rose more than 31% to 168.7 million Swiss francs (about ₹1,991 crore), according to the Federation of the Swiss Watch Industry (FH). The gains lifted India to become the world's 15th-largest export market up from 21st a year earlier, even as the industry's global exports by volume fell 0.7%.
Unlike mature luxury markets, where growth increasingly depends on replacement purchases, India's market is expanding because more consumers are buying their first luxury watch, while premium retail is expanding and global brands are bringing higher-priced collections into the country, industry executives said.
Trade tailwinds, richer product mix
"India’s growth is driven by increased demand, resulting from the rising purchasing power of the middle class and rising levels of wealth. The entry into force of the free trade agreement between Switzerland and India last October has also contributed to this," Philippe Pegoraro, chief economist at the Federation of the Swiss Watch Industry, told Mint.
India, along with France, was among the standout performers. France posted 63.4% growth in value terms, while most other major markets recorded single-digit growth, with Mexico and Poland delivering low double-digit increases.
One catalyst has been the India-Switzerland Trade and Economic Partnership Agreement (TEPA), which came into force in October 2025 and is expected to gradually reduce tariffs on Swiss watches over the coming years.
Higher prices, however, also inflated import values. The Swiss franc strengthened against most currencies, including the rupee, while soaring gold prices and higher freight costs stemming from disruptions in West Asia pushed up production costs.
“The depreciation of the Indian rupee, the cost escalation of precious materials used in watches and the increase in the market size have all contributed to the gains. But despite that, business heads here said there is volume growth. Certain brands are doing very well,” said Ashok Goel, managing director of Delhi-based listed company Luxury Time Ltd, which distributes brands such as Hublot and TAG Heuer.
He said shipments of the brands his company represents have grown by around 10-12%, suggesting that while higher prices inflated import values, demand has also remained healthy.
"There was a 10-24% appreciation in precious metal prices, which also impacted watch prices. But India will continue to grow,” he added.
Luxury leads the charge
The strongest momentum is at the top end of the market. Industry executives said watches priced above ₹10 lakh remain the fastest-growing segment, while the ₹5-10 lakh category is also recording healthy growth in both value and volume.
Mall developers and retailers say watches have become one of the best-performing luxury categories, supported by growing interest from consumers who increasingly view them as investment purchases.
“Watches have been growing resiliently. People are viewing them as appreciating assets and the second-hand market is robust too. They’re being seen as both fashion purchases as well as value-accretive assets. We’re seeing double-digit growth in both luxury and premium watches, with stronger double-digit growth in the luxury segment. More premium brands are expanding. Newer retail projects are attracting luxury watch retailers, reflecting continued premiumisation within the category,” said Pushpa Bector, group executive director and business head of DLF Retail.
Raahuul Kapoor, co-founder of Delhi-based luxury consultancy Luxury Ampersand Frolics, said the market's evolution is also reflected in a broader assortment of products.
“Demand is up. It has also gone up because consumers today have access to many more expensive watches than ever before,” Kapoor said.
Over the past three years, India's luxury retail landscape has expanded rapidly. International brands and their local partners have opened mono-brand boutiques, retailers have entered newer cities and premium malls have become increasingly important destinations for luxury shopping.
India climbs the ranks
India's growing importance is reshaping how global watchmakers view the market.
Swiss watch imports crossed ₹3,500 crore for the first time in 2025, up from nearly ₹2,600 crore in 2024, and industry executives expect that figure to be surpassed this year.
Ethos, one of India's largest luxury watch retailers, crossed the 100-store milestone in FY26 and recently told Mint it plans to double its network over the next three to four years.
In April, TAG Heuer said it expects India to become its largest market across the MEIAT (Middle East, India, Africa and Turkey) region within five years. Tissot has said India is now its third-largest market globally, while Rado counts India as its largest market by value.
Goel said brands including Rolex and Omega continue to perform strongly in the ultra-luxury segment, while Breitling and Hublot are seeing healthy demand in the mid-tier luxury category. More expensive models are also increasingly being allocated to India.
Mid-market retailer Just In Time likewise said demand has remained resilient despite periodic price increases by European brands, with premium watches continuing to attract buyers across segments.