Budget 2026: Gem & Jewellery Industry Seeks Gold Duty Cut, SEZ Reforms

• The Gem & Jewellery Industry has submitted its expectations for Budget 2026, seeking policy support amid rising global tariffs, high gold prices, and weakening demand.
• Sabyasachi Ray of GJEPC emphasized simplifying customs procedures to fully leverage Free Trade Agreements and enhance global competitiveness for Indian exporters.
• Concerns were raised about idle production capacity in SEZs due to reduced exports; the industry seeks permission for reverse job work and domestic sales with reduced duty on raw materials.
• Demands include an ad valorem duty drawback system similar to GST's input tax credit and reintroduction of a tax refund scheme for foreign tourists on gold and silver purchases.
• The industry proposes reducing gold import duty from 6% to 4% to support demand, citing the July 2024 budget's successful duty cut which lowered prices and boosted demand.

Why It Matters: The gem and jewellery industry urges Budget 2026 to reduce gold import duty and simplify trade policies.