India's gems and jewellery sector celebrates the India-US Interim Trade Agreement, which will eliminate high tariffs. Industry leaders say the deal will make loose diamonds, gold, and silver duty-free, boosting exports and global competitiveness.
India's gems and jewellery industry is celebrating a significant breakthrough following the announcement of the India-US Interim Trade Agreement, which promises to eliminate high trade barriers and rejuvenate exports. Industry leaders and exporters have expressed relief as the deal addresses the tariff hikes that had previously hampered the sector's global competitiveness.
Industry Hails 'Joyous Moment'
Commenting on the development, Kirit Bhansali, Chairman of the Gem and Jewellery Export Promotion Council (GJEPC) India, said it is a joyous moment for the entire gems and jewellery sector. "After the 50% tariff, my sector was severely affected, but this is good news."
Agreement to Slash Duties, Boost Exports
The agreement is expected to provide a direct boost to various segments of the industry by slashing customs duties that had made Indian products unviable for American buyers over the past few months.
Anup Mehta, Convenor of the Diamond Panel in GJEPC and President of Bharat Diamond Jewels, highlighted the specific duty exemptions that will now come into play. "It is very positive for our gem and jewellery sector," Mehta noted. "Loose diamonds will go to zero per cent. Gold and silver will also go duty-free. Gem and jewellery sector will get a boost."
Broader Economic Impact Expected
Exporters are already anticipating a sharp recovery in volumes as the cost of doing business with the United States drops significantly. Sanket Patel, Convenor of Lebron Diamond CGPSC, praised the government's efforts in securing the deal. "What the government has done is great," Patel said. "Exports from India have already increased significantly. This year, we will see a big push from Lebron diamond exports."
Beyond immediate sales, the trade pact is being viewed as a catalyst for job creation within the country. Alkesh Shah, Vice Chairman of Goldstar Jewellery, pointed out the long-term advantages of the lower tariff structure compared to international rivals. "It is going to be very helpful," Shah stated. "It will not only help grow the business but also employment."
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