Editor’s Note
This article highlights a key provision in the India-US trade deal, offering zero tariffs on diamonds and gemstones. Industry leaders see this as a major boost for India’s cutting and polishing sector.
Avinash Gupta, Vice Chairman of the All India Gem & Jewellery Domestic Council (GJC), stated that the India-US trade deal has brought a provision for zero percent tariff on diamonds and gemstones, which is a significant step for the industry. He explained that under Section 3, diamonds and gemstones can now be sent to the US at zero percent tariff, which will provide substantial relief to India’s cutting and polishing industry.
He also described this as beneficial for “Make in India” and for skill transfer across various industries. Gupta clarified that the zero percent duty currently applies only to diamonds and gemstones, while jewellery is not yet included in this category. He appealed to the government to bring jewellery under Section 3 in the future to achieve greater benefits.
Gupta further stated that as manufacturing hubs develop in India, the positive impact is clearly visible. Citing an example, he said that when electronics production began in India, the country was an importer, but has now become an exporter. This same pattern is being seen in the automobile industry and now in the gems and jewellery industry.