Maharashtra Govt and GJEPC sign MOU for India Jewellery Park at World Economic Forum 2024

The jewellery park with an investment of Rs. 50,000 crores is expected to generate 1 lakh new jobs in the sector and is poised to further elevate the gem and jewellery trade within the state

Davos: The Gem & Jewellery Export Promotion Council (GJEPC) and the Government of Maharashtra marked a significant milestone with the official signing of a Memorandum of Understanding (MoU) during the World Economic Forum 2024. The agreement paves the way for the development of India’s first and largest jewellery park in Navi Mumbai.

The MoU was signed by Eknath Shinde, Chief Minister of Maharashtra and Vipul Shah, Chairman, GJEPC in the presence of Uday Samant, Minister of Industries; Harshdeep Kamble, IAS, Principal Secretary of Industries; Shrikant Shinde, Member of the Lok Sabha; Bhushan Gagrani, Principal Secretary, Urban Development Department; Vipin Sharma, CEO, MIDC; Kirit Bhansali, Vice Chairman, GJEPC, and Sabyasachi Ray, Executive Director, GJEPC.

Vipul Shah, Chairman, GJEPC, said, “The jewellery park in Navi Mumbai is a dream project for Maharashtra and India which is in line with Prime Minister Narendra Modi’s vision of Make in India.”

Talking about the MoU with the Maharashtra government, Shah maintained that this project will be a game-changer not only for Maharashtra but also for the Indian economy as it comes with a substantial investment of Rs. 50,000 crores and is expected to generate 1 lakh new jobs in the sector.

“It will vitalize the economic system with new skills, new technology, quantum growth in exports, and enhance the country’s GDP. Additionally, it will attract substantial Foreign Direct Investment (FDI) from international jewellery brands, gold refineries, machine manufacturers, logistics support providers, etc. The sunrise sector of lab-grown diamonds has been given special incentives for setting up units in the park, which will enhance India’s dominance internationally,” Shah said.

CM Eknath Shinde, in his remarks on the MoU with GJEPC, expressed, “Maharashtra has consistently been a leader in trade and business, including its prominent role in gem and jewellery exports. The state contributes a significant 72% to India’s overall gem and jewellery exports, showcasing its prominent role in this industry. The jewellery park in Navi Mumbai is a dream project of Maharashtra set to generate 1 lakh jobs in the sector. This initiative is poised to further elevate the gem and jewellery trade within the state, making significant contributions to the nation’s economy. The government will extend support to GJEPC in all possible ways, fostering a thriving environment for this critical sector.”

Expressing GJEPC’s commitment to complete the work of the jewellery park in 36 months within the start of the project, Vipul Shah extended gratitude to CM Eknath Shinde and Deputy CM Devendra Fadnavis for invaluable support, acknowledging the facilitation of necessary permissions, registrations, approvals, clearances, and fiscal incentives from relevant state departments.

Kirit Bhansali, Vice Chairman of GJEPC, expressed gratitude, stating, “I extend my sincere thanks to both CM Eknath Shinde and Deputy CM Devendra Fadnavis for their assurance and support in initiating this project. I am confident that their continued support will guide us to the successful completion of the project.”

In the heart of the Mahape industrial area, the state government has allocated land of 21 acres to GJEPC. India Jewellery Park is envisioned to be a comprehensive hub, offering state-of-the-art infrastructure and ancillary facilities, along with a skilled workforce, to manufacturers in the gems and jewellery industry. The park aims to establish an end-to-end jewellery manufacturing ecosystem by providing integrated services under one roof, including security, logistics, refineries, machinery, and more.

The facilities encompass various essential components such as a customs office, effluent treatment plant, compound wall, centralised vaulting system, water supply, workshops, and allied utilities. One of the key objectives is to support Micro, Small, and Medium Enterprises (MSMEs), fostering the creation of additional job opportunities within the employment-intensive gems and jewellery sector. Through these initiatives, India Jewellery Park aims to catalyse growth, efficiency, and innovation in the country’s vibrant jewellery industry.

Union Budget 2024-25: GJEPC’s recommendations to propel gem and jewellery exports

India: GJEPC has proposed several recommendations to the government ahead of the upcoming budget on strategic policy interventions that adapt to the evolving business landscape within India’s gem and jewellery industry.

Vipul Shah, Chairman, GJEPC, said, “Gem and Jewellery exports have been facing a challenging time on account of an economic downturn in key export markets, geo-political concerns, supply and demand side constraints in the global diamond industry, unavailability of precious metal in the country among others. GJEPC’s pre-budget proposals will facilitate easy access to raw materials for the industry, especially for MSMEs. By introducing a safe harbour rule for the sale of rough diamonds in Special Notified Zones (SNZs), India can become a trading hub like Dubai and Belgium and our diamond manufacturers will not have to travel abroad to get access to these trading hubs. Also, it is estimated that a total of 60% of the rough diamonds traded through auctions in the world and bought by Indian manufacturers will come to India for trading.

“Introduction of Diamond Imprest License or reduction of import duty on cut & polished diamond from 5% to 2.5% will help to cope with the impact of beneficiation policies undertaken in a number of natural diamond mining countries. This will give India a level playing field with competing countries such as China, Vietnam, and Sri Lanka. We are hopeful that with the additional support of the Government in terms of reduction in import duty of precious metals and MOOWAR scheme for the gem and jewellery industry, the exports of gold jewellery will increase substantially in these challenging times,” added Shah. 

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