Metal Price
Scrap Monster
Gold December 01, 2020 09:30:16 PM

GJEPC: Government Must Reduce Duty on Gold Imports

Paul Ploumis
ScrapMonster Author
Shah called for reduction of import duty on gold from 12.5% to 4.5% and that of diamond from 7.5% to 2.5%.

GJEPC: Government Must Reduce Duty on Gold Imports

SEATTLE (Scrap Monster): The Gems and Jewellery Export Promotion Council (GJEPC) urged the Ministry of Commerce and Industry to cut import duties on gold and diamonds. could The request was made by Colin Shah, Chairman, GJEPC during event held by the Confederation of Indian Industries (CII) in Mumbai.

Shah called for reduction of import duty on gold from 12.5% to 4.5% and that of diamond from 7.5% to 2.5%. Such a move should help the country in achieving its goal of becoming the premier global destination of gems and jewellery. The proposed duty cut would transform the country into a trading hub of diamonds and gold jewellery.

The high import duty structure on gold has led to growth in parallel market, which in turn has negatively impacted the trade. Also, it has been preventing the country from competing in the international market, he noted.

Talking to media, Mr. Shah said that the Union Minister has assured to forward the proposals to the finance ministry. Furthermore, he has agreed to look into various other demands raised by the industry, including refund of taxes, logistics and financing of special economic zones (SEZs).

ALSO READ: India's Gold Bar Imports Plunged 86%

The trade body also welcomed the government’s decision to encourage trade through electronic platforms. It had recently approved diamond jewellery trade through courier mode.

SM Newsletter
Subscribe to SM mailing list and get updates to your inbox
Facebook Twitter Linkedin Instagram