Tariff hike a great initiative!

Good endeavour to halt CAD &

To support the Make In India

Craftsmen & Artisan would benefit!

Recently by a notification government hiked up import tariffs on 19 items where about six items are related to GJ (Gem-n-Jewellery) industry & trade. It is to be noted that, the items are, 1: Non industrial diamond (other than rough diamonds), i.e., cut and polished diamond, 2: Diamonds-semi processed, half cut or broken, 3: Lab grown diamonds, 4: Cut and polished Colored gemstone, 5: Articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal & 6: Articles of Goldsmith or silversmith wares and parts thereof of precious metal or of metal clad with precious metal.

Now, industry leaders & players have reacted & casted their feedback on the tariff hike! Here are the choicest expressions!

Aditya Pethe, Director, WHP Jewellers said, “This is a welcome move as it will discourage Indian retailers from importing jewellery and encourage them to manufacture it in-house. The increase is only on jewellery and not on bullion so the gold prices will not see any impact from this move. This is a great initiative to support the Make In India Movement and will benefit the Indian karigars and manufacturers.

Ms Tanya Rastogi, Director, Lala Jugal Kishore Jewellers said, “The increase of import duty on imported Jewellery should not make much of a difference in the industry as market volume for the said product is minuscule in regards to our entire gems and Jewellery market.”  “The raised duty on semi processed diamonds, on the other hand is not a welcome move at the foot of plethora of other compliances and levies charged upon our already rickety industry. We, as an industry, account for about 6-7% of the GDP and lethargy in our market is sure to reflect adversely on it.”

By giving his reaction Mr Ishu Datwani, Founder, Anmol said, “Raising duty on Jewellery & semi processed is a good thrust for Make in India. Not raising duty at this point on pure gold is a plus point.” On the other hand Ms Vaishali Shah, Director, Rivana Gold and Diamonds said, “An increase of Import Duty on finished jewellery will be a positive move for Made In India Initiative and Indian Karigars will benefit from this as it will encourage retailers to prefer them over international players.” The end consumer will see no impact of this move.

Mr Vaibhav Saraf, Director, Aisshpra Gems and Jewels said: “Lab grown diamonds are not used in the Jewellery sector hence there is no impact. The sales of imported Jewellery such as Turkish & Italian Jewellery will be affected due to the rise in Import duty. Semi processed diamonds will marginally affect the diamond prices as most diamonds imported in India are rough diamonds. The same effect would be on polished gemstones in India.”

“Increase in import duties is a positive sign for the domestic manufacturing. This will give a boost to domestic manufacturers to improve manufacturing technology. Also, the difference in the price will allow domestic players to offer similar quality to customer at a better rate than imports. It is a win-win for the customers and domestic manufacturers, said Mr Pradeep Kothari, Director, Karan Kothari Jewellers.