Jewellery exports to US could jump to US$3 billion: GJEPC
The Gem & Jewellery Export Promotion Council (GJEPC) informed Shri Piyush Goyal, the Union Minister for Commerce & Industry, that India’s jewellery exports to US could rise from US$ 1 billion to US$ 3 billion. For this jump to happen, Washington would have to extend duty benefits to these products under the Generalised System of Preferences (GSP).
When gems & jewellery enjoyed benefits under GSP (2007-09), Indian exports of gold jewellery articles stood at US$2.5 billion. But they have dropped to the level of US$ 1.78 billion in 2018. Gold jewellery accounts for about 80% of the total jewellery exports. “Simply put, the duty on these products was increased to 5.5% and more from negligible rates,” observed Sabyasachi Ray, Executive Director GJEPC. The council is lobbying that the government urges the USTR to cut rates on all jewellery items to preferably zero during imminent negotiations.
The trade body pointed out that during the same period, China gained at India’s expense. From US$ 2.78 billion in 2007, its overall jewellery exports grew to US$ 3.1 billion in 2018.