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ASSOCHAM seeks government intervention for betterment of Jewellery industry

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Capital Market
Last Updated : Apr 14 2016 | 12:01 AM IST
Industry body ASSOCHAM National Council on Gems & Jewellery said today we should form a gold council which would have representation from both the industries as well as government so that any new gold policy which is announced should be in consultation with the industry so there are no more conflicts.

While addressing the meeting Mayank Khemka, Managing Director of Khemka Group of Companies said that the government accepted industries suggestions of gold monetization scheme and gold bond schemes which has already seen moderate success and will go a long way in reducing import of gold and thus saving valuable foreign exchange and will improve our CAD (Current Account Deficit) but the scheme should be more modified to effectively market the concept to the end users.

Khemka also suggested that in order to promote export of gold Jewellery MAT (Minimum Alternate Tax) should be removed from SEZ (Special Economic Zone). This will make India a major manufacturing and export hub of the world for gold jewellery. He also said that interest subvention scheme to should be extended.

Nominated agencies to be allowed to import dore for value addition. Also the norms for import of gold dore especially the need to have a mining certificate should be relaxed and gold dore should allowed to be imported from multinational bullion banks and LBMA certified refiners and aggregators, adds the ASSOCHAM.

There is a need to simplify these laws to provide ease of doing business in the Industry. Jewellery industry is an essentially handcrafted industry, the rules should be tailor-made to allow the small artisans and Jewellers to operate without hassle, said Sankar Sen, Chairman of ASSOCHAM Gems & Jewellery at an ASSOCHAM event.

The Associated Chamber of Commerce and Industry of India (ASSOCHAM) will work for preparing a comprehensive 'A Vision document' for betterment of the industry which may add growth to the economic development of India and also submit to the relevant ministry to get it implemented.

Sen further said that extension of time limit for export obligation beyond 90 days and amended to 120 days.

The artisan and craftsman should be given training for skill development and there should be process of smooth re-absorption in the industry. The Jewellery sector in India is unique industry which gives employment of crores of self engaged artisans who acquire skills through generations. There is an immediate need to include the Gems & Jewellery industry in the 'Make In India' progarmme taking into account on necessary inputs that will make the Jewellery industry a truly make in India initiative .

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First Published: Apr 13 2016 | 1:48 PM IST

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