For December 2022, the total gross export of Gold Jewellery (Plain & Studded) a decline of 4.55% to Rs 4,635.64 crores (declined 12.62% in dollar terms to $562.48 million) as compared to Rs 4,856.47 crores ($643.74 million) for the same period last year. For the month of December 2022, the total gross export of all kinds of Studded Gold jewellery declined 21.95% to Rs 2,265.90 crores (declined 28.51% in dollar terms to $275.03 million) as compared to Rs 2,903.01crores ($384.69 million) in December 2021. The government hiked the import duty on gold from 7.5% to 12.5% in July 2022, adding the 2.5% agricultural infra cess makes the overall duty to 15%. This has primarily led to a rise in the key input cost for the Indian jewelry industry.

A rise in the cost of imported gold has reduced the cost competitiveness of the industry. The Finance Minister in her Union Budget 2023-24 should look at bringing down the duty to 9% to provide relief to the industry. The jewelry industry needs special focus from the government as it is a huge exporter, creates huge employment opportunities, and is highly regulated.

Source : financialexpress.com/ For more details