New Delhi, 19 Jan (KNN) Ahead of Union Budget 2022-23, the Gems and Jewellery Export Promotion Council (GJEPC) has asked the finance ministry to reduce import duty on gold to 4 per cent from existing 7.5 per cent. 

This is proposed to be introduced as a special package for the sector to boost shipments.

As their pre-Budget recommendations, GJEPC has also suggested a reduction in the import duty on cut and polished diamonds; cut and polished precious and semi-precious gemstones from 7.5 per cent to 2.5 per cent.

Further they have suggested to bring changes  in taxation provisions to allow the sale of rough diamonds in Special Notified Zone in Mumbai; clarification on online equalisation levy for business to business international diamond auctions; and extension of the sunset clause for SEZ units, as it would allow the SEZ units to stay competitive in the international markets. 

The chairman of GJEPC, Colin Shah stated that India is the contributing 5.8 per cent of the global gems and jewellery exports which makes it the fifth largest exporter of gems and jewellery.

He said that the sector will achieve the target of USD 41 billion, and now target to achieve USD 100 billion exports.

“Hence the government needs to announce a special package for the sector in the Union Budget," he said.