NEW DELHI, Feb 13 – India, world’s largest diamond cutting and polishing centre, aims to emerge as the international trading hub for rough diamonds.
“The conscience of the Indian diamond sector and the commitment of Indian government for clean and responsible diamond trading is really high,” Minister of Commerce, Industry and Textiles, Anand Sharma said.
Hence, the Task Group report to make India an international hub for rough diamonds is of great importance to the government, said the minister who accepted and unveiled the report.
The task group which comprised of members, both from the Government and Industry, did an extensive review of the issues related to the trade facilitation, taxation, fiscal measures and promotional matters related to the Indian diamond industry in line with such practices prevalent at other global diamond centres.
India currently enjoys the status of the foremost hub for manufacturing of diamonds in the world. Diamond exports is also a major contributor to the merchandise exports of the country and employs a large number of people from the underprivileged section of the society in India.
Some of the recommendations in report include setting up of a Special Notified Zone for import and trading of rough diamonds and permission to import cut and polished diamonds duty free up to the extent of 15 per cent of the average of previous three years’ exports.
There was also suggestion to reduce the rate of computation of profit under Benign Assessment Procedure (BAP) from 2.5 per cent from six per cent, amongst others.
Sharma appreciated the suggestions of the Task Group to help India retain its primacy as a trading hub and committed to take up the recommendations. India has been experiencing a slump in exports of diamonds in the last few quarters.
BERNAMA
