November 08: Gems and jewellery industry suggestions related to taxes and duties are currently under consideration of the finance ministry. The same was expressed by the Commerce and Industry Minister Piyush Goyal earlier on Thursday. A suggestion was made by Gems and Jewellery Export Promotion Council Chairman Colin Shah.
It suggested cutting the gold import duty from 12.5% to 4.5%. At the same time, of the diamond from 7.5% to 2.5%. During the CII’s Gems and jewellery conference, Shah also claimed that the structure of the duty is quite high in our country. On this, Goyal assured, “Your suggestions on right-sizing the duty is under consideration of the Ministry of Finance.”
The minister also claimed that a few unacceptable actions have taken place in the industry impacting its credibility, especially when it comes to financing. Further, he suggested that the industry must create a situation wherein lenders can get confidence in sector and participants. The minister also quoted, “We can find a solution to the problems of financing that the industry is facing in India.”
Continuing further, “Majority of players in the gems and jewellery sector are MSMEs. We need to come forward to augment their efforts in marketing, packaging logistic and access to low-cost finance. This can be done with joint participation and active involvement of associations from the gems and jewellery industry,” he said.
The minister also explained that the industry contributes about 7.5% to the country’s GDP and 14% to the nation’s exports and employment to over 5 million citizens.