Indian Jewellery Industry seeks fiscal reforms

Mumbai, Sep 23 (UNI) Bakul Mehta, Chairman of Gems and Jewellery Export Promotion Council today urged the Union Minister for Mines, Sish Ram Ola and the government to urgently undertake fiscal reforms to transform the multi million Indian gem stone, diamond and jewellery industry into a global force.

Speaking at the 'Knowledge Series Meet' organized by the Federation of Indian Chambers of Commerce and Industry's (FICCI) Western Regional Council (WRC)on jewellery manufacturing and technology here, he said the jewellery industry is the second largest generator of foreign exchange revenue into the government coffers.

Mehta pinpointed that the gem stone, diamond and gold jewellery industry has been in existence from decades and the strongest evidence of that existence is India's world famous 'Kohinoor' diamond.

He said that USD 3.8 billion is the value of Indian exports of the precious stones and jewels. In addition, 92 per cent of the global stones and jewels are polished in the country and an astounding 71 per cent of the same are cut and roughed in India.

Turning attention towards the mining industry, Mehta informed that out of 168 million carats of stones and metals mined in parts of the world, 88.5 million carats came to India for various processing works.

Seeking government intervention, he emphasised the need to reduce royalty on diamonds in the local market and an urgent acceleration in reforming the mining industry.

He advocated that the Indian gems and metal industry should bind as a cohesive force to make the country as a global manufacturing and polishing hub of stones and metals with the modern technology and designs.

Adding further, Ms Nirupa Bhatt, Marketing Manager, Rio Tinto Diamonds stressed the need for corporate governance in the industry to thwart the threat from countries like Botswana, South America and Australia, where mining takes place.

She said it is very important for Indian gems and metal industry to demonstrate to the world that the industry has systems in place to check the standards and quality of the processed metals.

She also alerted that it is vital for the Indian industry to adhere to global sensitivity on child labour eradication and unchecked mining, which can affect the enviroment and ecology.

Emphasising on quality, Bhatt asserted that customers need positive assurance and to deliver that the industry need to be a good corporate citizen by gaining reputation and credibility through quality delivery and not qunatity.

President, FICCI-WRC, Sushil Jiwarajka stated that there is huge global potential for the Indian gems and metal industry. To exploit the global opportunites, the indutry needs to modernize and adhere to the global best practices.

He pinpointed that only those players will succeed who stick by the rule of business, hence disorganized players will be wiped out with the passage of time, technology and changing buiness regulations.

Demanding an enhanced modernization drive, he maintained tha t the need of the hour is to introduce cutting edge technologies for cutting and polishing of gems and metals in the fastest way without diluting their quality.

Jiwarajka called upon the members of the gems and metal industry to overcome obstacles of growth together and also to find newer ways to enhance the industry as a profit making global force.

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