Budget 2023: Gems and jewelry industry disappointed with the budget, said- black marketing will increase due to lack of custom duty reduction

Mumbai. The Gems and Jewelery industry on Wednesday said that it is disappointed with the Union Budget for FY 2023-24 as the government has retained Customs Duty at 10 per cent. They believe that this will encourage black marketing.

All India Gems and Jewelery Domestic Council (GJC) President Sanyam Mehra said that the important concerns of the Gems and Jewelery industry have not been addressed in the Union Budget 2023-24. “While R&D grant will be provided to an IIT for development of lab-grown rough diamonds and machines, other areas of the industry, including issues like reduction in custom duty on gold, have been ignored,” he said. . This will seriously harm the Gems & Jewelery industry and encourage black marketing.

GJC has been demanding reduction in custom duty on gold
GJC has been urging for a reduction in the custom duty on gold for the last several years. However, in this budget, the duty on silver bars has been increased to bring them at par with gold and platinum. Mehra said, “This step will adversely affect the public. We will keep urging the government to reduce the import duty. We are having a meeting with the Finance Minister on 4th February in Mumbai where we will once again highlight the important concerns of the industry including reduction in custom duty, EMI on jewellery, relief in capital gains tax and gold monetization scheme Will give.

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Reduction in import duty on raw material used in diamond making
The Finance Minister has also proposed a reduction in import duty on the raw material used in laboratory diamond making to promote domestic manufacturing.

No capital gain on conversion of physical gold to electronic gold receipt
Commenting positively on a budget proposal, World Gold Council (WGC) Regional CEO India, Somasundaram PR said that there will be no capital gain from converting physical gold into electronic gold receipts as per the budget announcement.

An R&D grant for 5 years
However, the issue of reduction in import duty on gold, silver and platinum was not considered in the budget. Colin Shah, former chairman of GJEPC and MD of Cama, said the finance minister has acknowledged the potential of lab-grown diamonds to generate exports and employment. “An R&D grant for 5 years will help build local manufacturing capacity, thereby reducing our dependence on import of machinery in the years to come,” he added.

read this also- Union Budget 2023-24: The industry appreciated the budget, said – there will be an increase in employment

No reduction in import duty on gold
Saurabh Gadgil, Chairman and MD, PNG Jewellers, said that the biggest disappointment in this year’s budget is that it has not resolved the issue of reduction in import duty on gold.

Tags: Budget, Budget 2023, business news, business news in hindi, Golden, price of silver

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