BUDGET 2023: Gold Industry wants Finance Minister to reduce Import Duty and bring more transparency to Sector

The Union Finance Minister Nirmala Sitharaman  is being urged by the gold jewellery sector to increase transparency, level the playing field, lower import duties, and promote exports in the upcoming union budget in order to encourage more jewellers to participate in an organised economy.

Ramesh Kalyanaraman, Executive Director of Kalyan Jewellers Stated, “The Indian jewellery industry has the potential to be a significant driver of economic growth; the sector benefits from a huge and active market driven by strong domestic consumption as well as seasonal demand from the visiting Indian diaspora. With changing consumer preferences and the application of numerous rules such as GST implementation and obligatory hallmarking, the Indian jewellery industry has seen fast formalisation. As we await the Budget, we have a tremendous opportunity to realise the true potential of India’s jewellery business and build it into a global leader and trading centre. We believe that with the proper legislation and the Government of India’s assistance, we can further encourage the industry to become more organised. As an organisation founded on trust and openness, we take great delight in seeing widespread acceptance of fair trade practises like BIS hallmarking, which has eventually empowered consumers across markets.”

WHP Jewellers’ director Aditya Pethe “With the beginning of the global recession, the nation and the jewellery business are optimistically anticipating the Union Budget 2023. Although experts predict that India would have little to no effects from the recession, the budget will provide a plan of action to safeguard the economy from geopolitical developments around the world. Overall, I expect that the Budget will increase transparency, level the playing field, lower import taxes, and promote exports in order to attract more jewellers to participate in an organised economy.”

“Since this is the final budget before the general elections next year, We expect this budget to be very growth-oriented and tax-friendly”, Vaibhav Saraf, Director of Uttar Pradesh-based Aisshpra Gems & Jewels stated,

We anticipate that the import duty on gold will be reduced in addition to tax breaks for all brackets. The pricing difference between the organised and unorganised sectors has widened to over 5% in the current market, where domestic gold prices are on the verge of reaching an all-time high, and needs to be significantly narrowed. Additionally, due to high dollar exchange rates, there is a significant price difference between domestic and foreign prices. Greater investments in regional development will boost the economy of smaller towns, create more jobs, and simplify the GST tariff structure while reducing immigration to larger cities.

Director of Pooja Diamonds Shrey Mehta stated “The market is generally optimistic, and this year’s wedding and holiday seasons have been excellent. In comparison to ten years ago, the government’s reforms have significantly organised and structured the industry. We anticipate that the US will experience a recession, and we are hopeful that the budget will further protect the Indian economy from the effects of the global downturn. One of the most important things the sector hopes for is a reduction in import taxes. We also hope that programmes are in place to nurture and publicise Indian art both locally and internationally.”