Among the key changes, the Integrated GST (IGST) on imports of natural cut and polished diamonds up to 25 cents (1/4 carats) under the Diamond Imprest Authorisation Scheme has been reduced from 18% to nil. The move is expected to ease working capital constraints for small-diamond processors and exporters.
In another relief, GST on jewellery boxes has been lowered from 12% to 5%, cutting costs for retailers and exporters while making packaging and gifting more affordable for consumers.
Commenting on the announcement, Shri Kirit Bhansali, Chairman, GJEPC, said, “We welcome the GST reforms announced under the guidance of Hon’ble Finance Minister Smt Nirmala Sitharaman. These measures will stimulate domestic demand and provide a cushion to our export supply chains, which are under pressure due to global challenges. The diamonds and jewellery sector remains committed to ensuring that the benefits, including reduced costs for jewellery boxes, are transparently passed on to Indian consumers, reinforcing trust and supporting long-term industry growth.”
Industry stakeholders believe the rationalisation of GST rates across allied sectors such as handicrafts, leather goods, and packaging will further enhance India’s competitiveness as a global hub for diamond processing, jewellery design, and exports.
Established in 1966, GJEPC is the apex body representing over 10,700 members of India’s gems and jewellery industry. With regional offices across major jewellery centres, the Council plays a pivotal role in promoting exports and strengthening the industry’s global footprint.
