Government defers new wastage norms for gold, silver and platinum jewellery exports till August 31

As per the reports, wastage in gold ranges from 5% to 7%, however, implementation of modern methods and technology is increasingly helping in curbing wastage, but the loss is not completely eliminated.

New Delhi: The Gems and Jewellery Export Promotion Council (GJEPC) has requested the Government to defer new wastage norms for gold, silver and platinum jewellery because of which the Directorate General Of Foreign Trade (DGFT) has said in a public notice that the same has been put in place till August 31.

According to news reports, in the month of May, the DGFT had issued a public notice tightening wastage norms, following which the exporting community flagged its concerns.

It had amended the percentage of wastage by weight in export of plain jewellery to 0.5 per cent for gold and platinum from 2.5 per cent earlier and in studded jewellery to 0.75 per cent from 5 per cent before.

For the interim period, wastage norms as existed prior to the issuance of the May 27 notice stand restored, according to the reports.

Wastage charges for gold refer to loss of gold that occurs while crafting jewellery. This implies when artisans create intricate designs some gold is lost due to cutting, shaping, and refining and this amounts ‘manufacturing loss’. This loss is termed gold wastage, and jewellers may charge customers for this manufacturing wastage.

Factors which influence gold wastage charges include complexity of design, purity of Gold, and the craftsman’s skill.

Understanding gold wastage is crucial when buying gold jewelry, as it contributes to the overall cost, the Gold’s market rate, and making charges.

As per the reports, wastage in gold ranges from 5% to 7%, however, implementation of modern methods and technology is increasingly helping in curbing wastage, but the loss is not completely eliminated.

Retail Jeweller India News