In a significant policy move, Shri Piyush Goyal, the Minister of Commerce & Industry for the Government of India, unveiled the Diamond Imprest Licence during the 40th edition of the India International Jewellery Show (IIJS) Premiere 2024. The event, hosted at the Bombay Exhibition Centre in Goregaon, marks a critical step forward for the gem and jewellery sector, particularly benefiting MSME exporters.
The Diamond Imprest Licence, a long-awaited initiative championed by the Gem & Jewellery Export Promotion Council (GJEPC), is designed to support India’s smaller diamond exporters. Under this new scheme, exporters meeting specific turnover criteria can import up to 5%, or potentially 10%, of their average export turnover from the previous three years. This policy is expected to level the playing field for MSMEs, enabling them to compete more effectively with larger companies. Additionally, it aims to curb the outflow of investment by Indian diamantaires to overseas diamond-mining hubs and create more employment in diamond sorting and processing.
Addressing the gathering of industry stakeholders, Goyal reaffirmed the government’s dedication to the sector’s growth. He pointed out that recent reductions in duty rates on gold, silver, and platinum in the Union Budget were specifically aimed at alleviating barriers to industry expansion and job creation.
Goyal also acknowledged the space limitations faced by exhibitors at the IIJS Premiere and committed to exploring the development of a 2 million sq. ft. exhibition area for future events.
On the international front, Goyal discussed ongoing negotiations with G7 nations and the European Union. He highlighted that, for the first time, India is negotiating from a position of strength, particularly concerning transparency, data protection, and cost issues. The Minister also mentioned the possibility of establishing a diamond centre in Mumbai or Surat, akin to Antwerp’s, and ongoing talks with De Beers and the Kimberley Process to implement better mechanisms for tracing diamond origins.
Goyal further emphasized India’s balanced approach to Free Trade Agreements (FTAs), pointing to successful agreements like the India-UAE CEPA and India-Australia ECTA. He noted that under the FTA with Australia, double taxation for the Indian IT sector has been removed. Additionally, he mentioned a $100 billion investment commitment from Europe’s EFTA countries, which is expected to create 1 million jobs in India.
Vipul Shah, Chairman of GJEPC, praised Goyal’s efforts in securing these FTAs and expressed hope for future agreements with the UK, EU, and Canada, which could significantly enhance export opportunities.
The IIJS Premiere 2024, themed “Brilliant Bharat,” is set to be a major event, with over 50,000 buyers from across India and 2,000 international buyers from more than 60 countries. The show will feature 3,600 stalls and 2,100 exhibitors, covering an expansive 135,000 sq. meters (1.45 million sq. ft.), making it one of the largest events of its kind globally.
The exhibition will showcase a wide array of products, including diamond, gemstone, and studded jewellery, gold and CZ jewellery, lab-grown diamonds, high-end couture jewellery, silver jewellery, coloured gemstones, as well as machinery and technology from allied industries. This event underscores India’s growing influence in the global gem and jewellery market.
