Jewellers in Ahmedabad raised concerns over the opaque allocation process for gold import quotas under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) for FY 2025–26. In a formal representation to the Directorate General of Foreign Trade (DGFT), the Jewellers’ Association of Ahmedabad (JAA) urged the govt to publish clear eligibility criteria for tariff rate quota (TRQ) allotment and scrap the Rs 25 crore turnover threshold, which they say disadvantages smaller jewellers and distorts market competition.

Under the current TRQ application process, jewellers, bullion traders, and manufacturers were required to submit past turnover figures and pay a non-refundable Rs 1 lakh fee. However, many applicants said they were unaware of any turnover threshold at the time of applying in Feb.

Several applicants said they had no knowledge of the Rs 25 crore qualifying bar until results were announced. The issue gained further traction after the DGFT, in a meeting on April 29, disclosed that it received over 3,000 TRQ applications—a 253% rise over the previous year, but only about 1,400 were approved. Officials reportedly prioritised firms with “considerable business size” and “manufacturing capacity”, a move that sparked calls for greater transparency

The India-UAE Comprehensive Economic Partnership Agreement (CEPA), signed in 2022, allows for duty concessions on select goods to enhance bilateral trade. Under this, India permits the import of up to 200 metric tonnes of gold annually from the UAE at a 1% duty discount — lower than the standard import duty — through a tariff rate auota (TRQ) mechanism. Jewellers, bullion traders, and manufacturers must apply to the Directorate General of Foreign Trade (DGFT) for TRQ certificates to access this concession. The quota is distributed based on eligibility criteria, which applicants say lacked transparency this year.