Mumbai: Keeping in mind the US mutual tariff policy, jewelery export units working in Mumbai’s Santa Cruise Electronics Export Processing Area (SEEPZ) have submitted a resolution to the government, requesting them to allow them to sell jewelery made there in the local market.
The seepz exports jewelery worth Rs 27,000 to Rs 28,000 crore per year, of which more than 80 percent are exported to the US. Sources in the Cepz Gem and Jewelery Manufacturers Association said that the government has paid attention to the presentation and is being considered.
The government will have to issue a special notification to change the position of Special Economic Area (SEZ), so that jewelery construction units located in SEEZ can be allowed to be allowed to be done at the domestic level.
Seepz has about 200 jewelery manufacturing units, which provide employment to about one lakh people. The manufacturing units of the sepz provide international level products, so if they are allowed to sell local levels, world -class products will be seen at home.
There is a possibility that the country’s mutual tariff policy will give a major setback to the country’s gold and diamond jewelery exporters. India levies a 20 percent fee on American gold jewelery, while Indian jewelery is charged 5.50 to 7 percent in the US. In addition, a five percent fee is levied on chopped and polished diamonds in India, while the US does not levy any fees on these Indian products.
The possibility cannot be ruled out that the US will also levy high fees on jewelery under the mutual scheme, as it imposes on various products.
Meanwhile, the Ratna and Jewelry Export Promotion Council had earlier stated that in February this year due to the sluggish demand of the US and China, the gem and jewelery exports from the country declined by 23.50 percent to Rs 21,085 crore on an annual basis.
Sources in the council also said that the possibility of further decline in exports due to high tariffs cannot be ruled out.
