Indian Jeweller (IJ) Feb - March Issue

Special RepoRt
Experts Speak
This rise in
import duty of
rough coloured
gemstones has
the potential to
disrupt the exports
of gemstones
from Rajasthan, the hub of coloured
gemstones processing, which
employs around 4 lakh workers. We
earnestly request the Government
to roll back proposed import duty on
these rough coloured gemstones
in the interest of gemstone exports
from India. The industry welcomes
reduction of import duty on platinum
from 12.5 per cent to now proposed
7.5 per cent. However, we believe
the same should have been made
as a standard import duty for other
precious metals like gold and silver.
We also believe that the NIRVIK
Scheme would result in the increase
of the export credit disbursement to
the gems and jewellery sector. Also,
we understand that the government
has now equated the gold bullion
sector under single import duty
regime by increasing the import duty
on gold coins from 10 per cent to
12.5 per cent. Our demand was to
decrease the import duty on bullion
to 4 percent from 12.5 per cent
Pramod Kumar Agrawal,
Chairman, GJEPC
We had really
expected that
the government
would hear our
concerns about
customs duty
and act on it. But
nothing has been implemented
and there was nothing positive for
the gems and jewellery industry
as such. It’s disappointing
Colin Shah, Vice Chairman, GJEPC
This industry is still dominated by small retailers
and family owned set ups which don’t fall under the
corporate category. The likes of Tanishq and Malabar
forms one per cent of this industry. So there are no
tax reforms for small players. No policy changes have
been announced to boost our exports as well
Shreyansh Kapoor, Kashi Jewellers
Customs duty on rough coloured gemstones, rough
CZ and rough synthetic gems has been imposed at
the rate of 0.5 per cent. This is very disappointing
and will affect the trade of colour gemstones a
lot. This is a trade wholly exportable and levying
any duty will increase cost of the product and in
the international market our products will become
expensive. The gem stone trade which is already
feeling the pinch of global recession will be hit largely
Sanjay Kala, President, Jewellers Association, Jaipur
Budget is favourable for tax payers. More money in their hands would mean that
more money will come into our system. However, we were expecting a cut on
customs duty. Just like they have given relief to the individual tax payers, if the
government focuses on relieving businesses as well, then there will be ease of doing
business and we wouldn’t have to be constantly worried about the bottlenecks. The
announcement of gold spot exchange is a positive move
Rajesh Kalyanaraman, Kalyan Jewellers
124 | february-march 2020 | INDIAN www.indianjeweller.in
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