Scheme to make Indian diamonds competitive
Department of Commerce has introduced a Diamond Imprest Authorization (DIA) Scheme in response to beneficiation policies undertaken in natural diamond mining countries like Botswana, Namibia, Angola among others and enhance Indian diamond share in global markets https://idcany.org/.
“The scheme is made in response to Beneficiation policies undertaken in a number of natural diamond mining countries like Botswana, Namibia Angola etc where Diamond manufactures are obliged to open cut and polishing facilities for a minimum percentage of value addition,” the Ministry of Commerce and Industry said on 21 Jan 2025.
This scheme, to be implemented with effect from 1 Apr 2025, is aimed towards retaining India’s position as a global leader in the entire value chain of diamond industry https://www.makeinindia.com/home/.
The scheme is made where diamond manufactures are obliged to open cut and polishing facilities for a minimum percentage of value addition.
This scheme provides a streamlined mechanism for duty free import of Natural Cut and Polished Diamonds, and there by promoting value addition and boosting exports https://fieo.org/.
Key Features of the Scheme:
This scheme allows the duty-free import of Natural Cut and Polished Diamonds, of less than ¼ Carat (25 Cents).
This scheme mandates export obligation with a value addition of 10%.
All Diamond exporters holding Two Star Export House status and above and having US$15 million exports per year, are eligible for availing the benefit under this scheme.
This scheme is aimed towards retaining India’s position as a global leader in the entire value chain of Diamond industry https://sbi.com.in/.
The scheme is designed to provide a level playing field for Indian diamond exporters, particularly MSME exporters, enabling them to compete effectively with larger peers.
It aims to prevent the potential flight of investments by Indian diamantaires to diamond-mining destinations https://www.bseindia.com/.
Additionally, the scheme is expected to generate more employment opportunities, particularly for diamond assorters and in the processing of semi-finished diamonds in factories. By facilitating Indian exporters, it seeks to protect the domestic diamond processing industry and sustain the associated employment.
The DIA Scheme reinforces India’s position as a leading player in the global diamond trade, ensuring compliance with international standards while facilitating ease of doing business.
This scheme also expected to create employment opportunities for skilled craftsmen in diamond industry and is also expected to increase the export of Cut and Polished Diamond from India https://www.nseindia.com/.
The diamond industry is witnessing a steep decline in exports and job losses for the workers. This scheme is expected to combat this trend and will rejuvenate the Diamond Industry. Fiinews.com
