Entertainment News | Cut diamond duties to boost demand: Jewelers

Kolkata, Feb 01 (PTI) Jewelery sector is pleased with cut and polished diamond tariff reduction in union budget tabled in parliament on Tuesday and says move will boost demand for ornaments in diamonds.

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Small gold jewellers, however, said the government should have reduced import duties or GST on gold because diamonds are not for ordinary people.

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“The announcement by Union Finance Minister Nirmala Sitharaman of the reduction of customs duties on cut and polished diamonds and gemstones and the plan to develop a simplified regulatory framework to facilitate the export of jewelery through e-commerce are positive steps that will allow the sector to grow in the country and boost exports,” said Senco Gold & Diamonds CEO Suvankar Sen,

De Beers, India, Managing Director Sachin Jain said: “We are pleased with the budget announcement for our sector, in particular the reduction of customs duties on cut and polished diamonds from 7.5% to 5% . This will stimulate greater demand for natural and real diamonds and will also give diamond companies an opportunity to boost their operations and, in turn, contribute to greater economic growth for the country.”

The reduced import duty on the gemstone is a very positive sign that will help make diamond jewelry making more attractive and affordable. This will help the global gemstone and jewelry fraternity, said AU Chowdhuury, Director of Anjali Jewelers.

Owners of small gold ornament shops said that selling diamond jewelry represents only a fraction of the total jewelry business in terms of units and is not affordable for ordinary people. Any reduction in the tax burden on gold would have helped a large population and small artisans.

“The government supported the rich by encouraging them to buy diamonds,” said a jeweler in the city.

Sen said the focus on infrastructure investment is good for the economy, and the revision of the Special Economic Zones Law will help boost export infrastructure.

(This is an unedited and auto-generated story from syndicated newsfeed, LatestLY staff may not have edited or edited the body of the content)