Gold Policy to enter MoF by December

India exports 10% of total gold import!

The country’s top policy makers, gem & jewellery stakeholders and decision makers got together for the most significant annual gems & jewellery industry summit – India Gold & Jewellery Summit (IGJS) 2018 – being organized by The Gem and Jewellery Export Promotion Council (GJEPC), the apex Gem & Jewellery body of India, being held on 23-24 November 2018 in the Capital. 

Upscale, upgrade and forge partnerships with high potential export markets, said Union Commerce & Industry Minister Shri Suresh Prabhu at GJEPC’s second India Gold Policy & Jewellery Summit 2018.  Ms. Rupa Dutta (Economic Adviser, Ministry of Commerce & Industry-Government of India) announced that the draft of the Gold Policy will be shared with the Union Finance Ministry (MoF) in December 2018.

Shri Pramod Kumar Agrawal (Chairman, GJEPC) said that India has the potential to double its gold jewellery exports to USD 18 billion by 2025 and add 3 million more jobs to the 5 million people directly employed by the industry. He also sought further ease of doing business and reduction of customs duty on gold to 4%.

Dr. Anup Wadhawan, Commerce Secretary, Union Ministry of Commerce & Industry, Government of India, said that Industry has to adopt prudent practices and processes and there is a need for self-regulation and innovation.

 

Shri Suresh Prabhu, Hon. Union Minister for Commerce & Industry, Government of India, said, “The gem & jewellery industry is one of the top contributors to the nation’s economy and this business can grow exponentially due to the presence of a substantially strong ecosystem around gold in the country. Out of the total gold imported only 10% is exported as jewellery as we have a strong domestic demand and market.

The gem & jewellery industry has to upscale and upgrade infrastructure and comply with global standards to make its mark across the world. GJEPC should continue forging deeper partnerships with prospective countries and tap the vast economic and employment opportunities in this business. GJEPC’s second Gold & Jewellery Summit will aid the process of bringing in structural policy reforms to take the industry to the next level.” 

Shri Pramod Kumar Agrawal, Chairman, GJEPC, said, “Indian gem & jewellery is most respected for its capabilities and skills for manufacturing world-class jewellery and today India is the largest exporter of gold jewellery with exports of USD 9 billion in 2017. India has the potential to double its gold jewellery exports to USD 18 billion by 2025 and add 3 million more jobs to the 5 million people directly employed by the industry.

With the participation of policy makers, industry stakeholders and influential, GJEPC has emphasized the need for a comprehensive Gold Policy through two editions of the Gold & Jewellery Summit 2018.” He added, “We seek ease of doing business and rationalization of the import duties on gold to 4% so as to reduce working capital blockages and give impetus to value-added gold jewellery exports.

GJEPC has taken several key initiatives such as MyKYC, Buyer-Seller Meets, cluster mapping, gem & jewellery training institutes, skill development, jewellery parks and common facility centres amongst others. Industry friendly trade policies coupled with consumer-centric initiatives such as hallmarking and gold monetization policies will give further impetus.” GJEPC has opened gem & jewellery training institutes in Mumbai, Delhi, Surat, Varanasi and Udipi. It has opened 30 common facility centres including forthcoming new ones in Palampur.

Dr. Anup Wadhawan, Commerce Secretary, Union Ministry of Commerce & Industry, Government of India, said, “Gold and jewellery has been synonymous with Indian society and culture as they have been part of all our significant milestones of life’s celebrations. The concept of gold as an asset has deepened in the scenario of market-currency volatility.

Industry has to adopt prudent practices and processes and there is a need for self-regulation. There is a lot of sensitivity involved and the comprehensive Gold Policy will have balance regulatory concerns with ease of doing business so as to avoid any violations. Industry has to explore innovative ways to tap idle gold reserves and blend the traditional and modern ways to excel globally.

Shri Aram Shishmanian (CEO, World Gold Council) presented papers on global and India-centric trends on gold. “Indian gem & jewellery industry constituents should speak one voice when it comes to policy changes. India has to get proper representation in the global gold exchanges context and that’s why a comprehensive gold policy is the need of the hour. After the announcement of the Gold Exchange in Union Budget, new initiatives such as Assaying Centre and Bullion Banking are taking shape,” he said.

Participants included several distinguished personalities such as Shri Raj Modi (Hon Minister of Commerce & Industry, Zimbabwe), Shri Amitabh Kant (CEO, NITI Aayog), Shri Ratan P. Watal (Principal Adviser NITI Aayog), Shri Avinash Srivastava (Secretary, Consumer Affairs), Shri Manish Sinha (Jt Secy Policy, MOF), Shri Anup Wadhawan (Commerce Secretary), Shri Subhash Chandra Garg (Secretary, DEA), Shri Rajesh Khosla (Chairman, MMTC Pamp), amongst others.

Distinguished corporate personalities such as Mr. Upasana Taku (Co-founder, Mobikwick), Mr. Prashobh C (Partner and ED, IBM India) and Harish Bijoor (Management Consulting Consultant, HBC Inc.) addressed the Summit participants.

GJEPC’s India Gold & Jewellery Summit covers topics such as Bullion Banking – a tool to leverage India’s wealth in gold; Technology and Innovation in Jewellery Manufacturing/ Approach to understand overseas markets/ Doubling of exports; Need for robust standards in the Gold Industry; Gold Jewellery – Branding & Retailing; Employment Generation & Skill Development in Gold Industry; GST, Taxation and Enforcement – Making gold a transparent asset class; amongst others.

GJEPC’s India Gold & Jewellery Summit is a good opportunity for Gold Jewellery Manufacturers, Exporters, Retailers and Banks, etc. The objectives of the Summit are to bring all the stakeholders across the world, who will attend this conference and contribute to defining the policy; and to usher the transparency in gold & consequently the jewellery business in India. Participants will seek to understand the implementation procedures and hiccups from other countries in the world.