Foreign Direct Investment Policy

• At present, the Indian government allows 100 per cent foreign direct investment (FDI) in gems and jewellery through the automatic route.
• For exploration and mining of diamonds and precious stones FDI is allowed up to 74 per cent under the automatic route.
• For exploration and mining of gold and silver and minerals other than diamonds and precious stones, metallurgy and processing, FDI is allowed up to 100 per cent under the automatic route.

Foreign Trade Policy (2009-2014) Initiatives

Import of gold of 8k and above is allowed under replenishment scheme subject to import being accompanied by an Assay Certificate specifying purity, weight and alloy content.

Duty Free Import Entitlement [based on Free On Board (FOB) value of exports during previous financial year] of consumables and tools, for:

• Jewellery made out of:

• Precious metals (other than gold & platinum) - 2 per cent
• Gold and platinum - 1 per cent
• Rhodium finished silver - 3 per cent
• Cut and polished diamonds - 1 per cent
• Duty free import entitlement of commercial samples shall be US$ 6187.9.
• Duty free re-import entitlement for rejected jewellery shall be 2 per cent of FOB value of exports.
• Import of diamonds on consignment basis for certification/ grading & re- export by the authorized offices/agencies of Gemological Institute of America (GIA) in India or other approved agencies will be permitted.
• Personal carriage of gems & jewellery products in case of holding/participating in overseas exhibitions increased to US$ 5 million and to US$ 1 million in case of export promotion tours.
• Extension in number of days for re-import of unsold items in case of participation in an exhibition in USA increased to 90 days.
• In an endeavour to make India an international trading hub for diamond, it is planned to establish "Diamond Bourse (s)".

Investment Opportunities

• Gemstone Processing (Cutting and Polishing)
• Jewellery Manufacturing and Retailing
• Jewellery Certification
• Branded Jewellery

Top 10 Buyers of Indian Gems and Jewellery

• United Arab Emirates (U.A.E.)
• Hong Kong
• United States of America
• Belgium
• Israel
• Singapore
• Thailand
• United Kingdom
• Japan
• Australia

Major Players in Indian Gems and Jewellery

• Gitanjali Group
• Shrenuj & Company
• Suraj Diamonds and Jewellery Limited
• Rajesh Exports
• Asian Star
• Titan Industries (Tanishq into Retail), Bangalore
• Suashish Diamond
• Rosy Blue
• B. Vijaykumar
• Laxmi Diamond
• K Girdharilal
• C. Mehendra Exports
• J.B Brothers
• Tara - Ultimo
• Vaibhav Gems, Jaipur
• Sheetal Manufacturing

Gem and Jewellery Export Promotion Council (GJEPC)

The Gem and Jewellery Export Promotion Council is a representative body of trade. The following initiatives have been taken by the council in order to enhance competitiveness such as:

• Preparation of a medium term exports strategy for various sectors including gems and jewellery by the Ministry of Commerce.
• Exploring the possibility of direct procurement of rough diamonds from mining countries.
• Promotion of Indian diamonds and jewellery abroad through advertisements, publicity and participation in international fairs, buyer-seller meets and direct approach to market retailers.
• Market study through experts in the field to identify new markets.
• Promotion of export of 'hallmark' jewellery from India to assure foreign customers of quality and purity of jewellery made in India .

Useful Weblinks

• Gem and Jewellery Export Promotion Council