11 Feb, EOD - Indian

SENSEX 76293.6 (-1.32)

Nifty 50 23071.8 (-1.32)

Nifty Bank 49403.4 (-1.16)

Nifty IT 41968.3 (-1.47)

Nifty Midcap 100 50887.95 (-3.02)

Nifty Next 50 60827.8 (-2.50)

Nifty Pharma 21249.5 (-1.92)

Nifty Smallcap 100 16074.35 (-3.45)

11 Feb, EOD - Global

NIKKEI 225 38801.17 (0.04)

HANG SENG 21294.86 (-1.06)

S&P 6065.5 (0.57)


Pre Budget WishList News

You are Here : Home > News > Pre Budget WishList News >

(22 Jul 2024, 14:59)

Gem & Jewellery Export Promotion Council seeks reduction in import duty on precious metals to 4%


GJEPC has offered following key recommendations for the gem & jewellery trade at a recent pre-budget meeting with Union Finance Minister Nirmala Sitharaman:

Sale of rough diamonds in Special Notified Zones (SNZs):
GJEPC has urged the Government to consider its long pending demand of sale of rough diamonds in Special Notified Zones (SNZs) through Safe Harbour Rule and to expand the ambit of entities entitled to operate through SNZs. Currently only viewing session are held by mining countries at SNZs.

SNZ for rough gemstones in Jaipur:
GJPEC has proposed the establishment of an SNZ for rough gemstones in Jaipur. With these SNZs in Mumbai, Surat, and Jaipur, the critical issue of raw material availability would be greatly relieved.

Facilitate Rough Diamond Broking and Trading Companies at SNZ:
With a view to further extend and expand the scope of SNZs, GJEPC requested the Government to also allow globally recognised diamond broking/ trading houses such as Bonas and I Hennig to also similarly operate from such SNZs. Such trading houses are the focal point for sale of diamonds of smaller miners which cumulatively comprise close to 35% of the global mining produce.

Introduction of Diamond Imprest Licence:
Under beneficiation scheme, some mining countries do not allow export of raw/rough diamonds without some value addition (cutting). These diamonds when imported in India are not considered rough diamonds but treated as cut & polished diamonds and attract BCD of 5%. This makes export of polished diamonds from India less competitive as compared to competing countries like China, Vietnam and Sri Lanka. Due to beneficiation, the business is shifting to mining countries like South Africa, Namibia, Tanzania etc.

Reduction in import duty on precious metals to 4%:
The Council has also sought reduction in import duty on precious metals Gold Bar (7108) from 15% to 4%. This will ensure that duty blockage of around Rs. 982.16 crore can be released resulting in more working capital in hand for industry. Untapped export potential for gold jewellery can be realised with more working capital (at least US$2 billion of US$ 11 billion in medium period of 2 years). GJEPC has sought reduction in import duty on Silver Bars (7106) from 10% to 4%; and reduction in import duty on Platinum Bars (7110) from 12.5% to 4%.

Introducing duty drawback on exports of Platinum Jewellery:
In the absence of tariff rate of platinum combined with high import duties and non-availability of duty-free platinum from nominated agencies/banks, this imposes constraints on DTA exporters and therefore the majority of exports of platinum jewellery is happening through SEZs. Since duty drawback is not available on platinum, therefore DTA units are not able to export as they are not competitive in international market.


More News

Capital Market Publishers India Pvt. Ltd

401, Swastik Chambers, Sion Trombay Road, Chembur, Mumbai - 400 071, India.

Formed in 1986, Capital Market Publishers India Pvt Ltd pioneered corporate databases and stock market magazine in India. Today Capitaline corporate database cover more than 35,000 listed and unlisted Indian companies. Latest technologies and standards are constantly being adopted to keep the database user-friendly, comprehensive and up-to-date.

Over the years the scope of the databases has enlarged to cover economy, sectors, mutual funds, commodities and news. Many innovative online and offline applications of these databases have been developed to meet various common as well as customized requirements.

While all the leading institutional investors use Capitaline databases, Capital Market magazine gives access to the databases to individual investors through Corporate Scoreboard. Besides stock market and company-related articles, the magazine’s independent and insightful coverage includes mutual funds, taxation, commodities and personal finance.

The power of the database is harnessed by our fired-up reporters to generate interesting ideas. The reader-friendly presentation of the idea, supplemented by relevant data and information, can be accessed online through Capita Telefolio and Telefolio Gold. These ideas are used by individual investors as well as institutional investors to do further research and stay ahead.

Copyright @ Capital Market Publishers India Pvt.Ltd

Designed, Developed and maintained by CMOTS Infotech (ISO 9001:2015 Certified)

Site best viewed in Internet Explorer Edge ,   Google Chrome 115.0.5790.111 + ,   Mozilla Firefox 115.0.3 + ,   Opera 30.0+, Safari 16.4.1 +