Gems and jewellery industry on Saturday asked Prime Minister Narendra Modi to reduce gold import duty to 5 per cent to check shift of business to neighbouring countries besides seeking separate ministry for the sector.
The other demands were setting up of jewellery park in line with the Information Technology Parks; jewellery university and a separate gold policy. Speaking at the felicitation function organised for the Prime Minister, All India Gems and Jewellery Trade Federation (GJF) Chairman GV Sreedhar said: “There are challenges in the sector. High import duty is affecting our topline and economy as a whole. I request you to consider reducing it to 5 per cent from 10 per cent.”
Due to high duty, businessman of the sector are shifting to neighbouring countries and impacting the country's exports, he said. Sharing concerns of the sector, Gems and Jewellery Export Promotion Council (GJEPC) Chairman Praveenshankar Pandya said high gold import duty also led to smuggling.
“If you want the industry to make it transparent, there is a need to provide a level playing field,” he said.
He also asked the government to set up jewellery parks in the country and provide them common facilities. Pandya emphasised on cutting down number of approvals to set up units in places like Mumbai.
Further to improve skill development in the sector, he demanded for a jewellery university in the country besides asking for a separate ministry for the sector which can make policies for the industry.