‘Slash duty on gold, cut & polished diamonds’: GJEPC

SURAT: The Gem and Jewellery Export Promotion Council (GJEPC) has made a slew of demands including duty cut on gold, cut and polished diamonds, precious and semi-precious gemstones; ahead of the union budget for 2022-23.

The apex body promoting gems and jewellery exports wants reduction of import duty on cut and polished diamonds (CPD) from 7.5% to 2.5%. It has demanded permission for the sale of rough diamonds in Special Notified Zone (SNZ) in Mumbai besides allowing exporters to import 10% of the total CPD’s exported at nil duty.

“India is the 5th largest exporter of gems and jewellery, contributing 5.8% of the global exports of US$ 629.06 billion. India is emerging as a potential global leader in jewellery exports due to the sheer talent pool and expertise the country has developed over decades of hard work,” said GJEPC chairman Colin Shah.

“Post pandemic, it has been a new beginning for the industry and we will achieve the target of US$ 41 billion as set for this sector by Prime Minister as part of the overall target of merchandise exports of US$ 400 billion. We now target to achieve US$ 100 billion exports when India will observe the centenary of its independence,” Shah added.

“To achieve this goal we have made several suggestions to the union government. This will not only help the Indian diamond industry to remain as the largest diamond producer of diamonds in the world but would also help us to become the largest diamond trading hub,” he said.

According to GJEPC, if the sale is permitted from SNZ, at least 20% of the rough diamond trading will be shifted there and the government will be able to collect an additional tax of US$ 3.48 million. Currently, only viewing of rough diamonds is permitted in SNZ and no sale is allowed.

GJEPC has also demanded the reduction in import duty on precious metals like gold, silver, platinum from 7.5% to 4%.

Courtesy: Times of India