Mumbai [Maharashtra] (India), July 15 (ANI): India’s gems and jewellery industry is poised for a major boost under the India-UK Free Trade Agreement (FTA), with import duties on Indian jewellery exports to the UK set to be eliminated, improving the sector’s competitiveness and creating significant export opportunities, said Santosh Mishra, Customs Commissioner.
Speaking with ANI at an event, Mishra said Indian gems and jewellery exports currently face import duties ranging from 2.5 per cent to 4 per cent in the UK market, which will be reduced to zero under the trade pact.
“The current rate of 2.5% to 4% of the duty which the Indian exports are facing for import into the British market will come down to 0%,” he said. With this, Indian gems and jewellery sector will have a more competitive access in the European market.
Shaunak Parekh, Vice Chairman, Gems and Jewellery Export Promotion Council (GJEPC) expects the agreement to significantly accelerate exports over the next few years. Parekh said the removal of duties would particularly benefit exporters, micro, small and medium enterprises (MSMEs) and jewellery manufacturers.
“I think the gem and jewellery industry where up to 4% of the duty is foregone and this will really increase our exports, our estimation is in three years we should be almost triple our exports, particularly this will benefit all our exporters, particularly MSMEs, jewellery manufacturers and this has really expanded the market for us,” said Parekh.
He added that the industry is also working closely with Customs to improve the ease of doing business.
“We are continuously working with customs to see how to really improve ease of doing business.”
He added that Customs has been highly collaborative and proactive in facilitating the required processes.
Vishwajeet Chimankar, Deputy Director at the Directorate General of Foreign Trade (DGFT), described the agreement as a landmark pact that would provide long-term export benefits to the sector.
“I believe this is a landmark agreement that will help our exporters to gain access to new market of UK,” he said. (ANI)
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