The gem and jewellery industry is hopeful that the government will announce supporting measures and specific schemes for the industry in the forthcoming Budget as it holds huge potential to create jobs and increase exports year on year and become a major driver of economic growth. The need of the hour is to formulate policies and bring transparency that aim at bridging the gap between organised and unorganised players. We are also hoping for a further reduction in customs duty which will regularize prices and in turn, boost customer demand.
Setting up one of the world’s largest gems and jewellery park in Navi Mumbai will be a major boost to initiate new business or strengthen existing ventures and will definitely make India a global leader. Other initiatives by the ministry such as a simplified regulatory framework for gem & jewellery exports through e-commerce, hallmarking norms etc will also go a long way in boosting the growth of the sector.
Consumer sentiments have picked up in a big way in the post pandemic era and we have seen a robust demand during the last festive and ongoing wedding season. As the economy grows at a fast clip, we are very optimistic about the diamond and jewellery industry and it will continue to play a significant role in India’s GDP despite several global headwinds.
Overall, the upcoming Union Budget should focus on boosting disposable incomes of the burgeoning middle-class through favourable fiscal policies and beneficial tax regimes that should eventually lead to demand generation and accelerate consumption.
Eshwar Surana, Managing Director, Raj Diamonds