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GJEPC Chairman Takes Bold Stance On Recent Hike In Gold Import Duty and Agri Cess

Council Proposes Lower Caratage Jewellery, Revival Of Gold Monetisation Scheme, and Export Incentives While Cautioning Against The Long-Term Impact Of Higher Import Duties

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The Gem & Jewellery Export Promotion Council (GJEPC) acknowledges the Government’s decision to raise gold import duty to 10% from 5% and Agri cess to 5% from 1%. As an industry, we remain committed to the spirit of ‘Nation First’ echoed by Honourable Prime Minister Shri Narendra Modi.

In response to his call, GJEPC convened a meeting yesterday with major retailers and manufacturers. We have written to the Prime Minister outlining proactive measures from our members to curb gold imports and bolster self-reliance:

• Promote sales of lower caratage jewellery (e.g., 14K and 9K) to reduce imports by 20-30%
• Encourage consumers to exchange old gold for new jewellery making, further decreasing import dependence
• Revamp the Gold Monetisation Scheme (GMS) to tap India’s 25,000 tonnes of grandfather stock
• Discourage investment in gold bars, billets, and coins, which account for 20-30% of total imports
• Provide special policy framework for gold jewellery exporters to earn precious foreign exchange amid economic challenges

We are submitting a detailed paper on revitalizing GMS for the Government’s consideration.

That said, GJEPC’s consistent position is that hiking import duties rarely curbs gold imports—it merely inflates prices. Despite gold prices doubling recently, imports have not declined proportionally. Such measures often fuel smuggling and escalate export costs.

Exporters now face Bank Guarantees of Rs. 28-30 lakhs per kg of duty-free gold from Nominated Agencies, severely blocking working capital and stifling exports.

The most severe impact of this policy will be felt by MSME manufacturers, who are the “backbone” of the industry, accounting for 80% of GJEPC’s membership, and who are currently facing a critical liquidity crunch.

GJEPC urges the Government to engage in dialogue for sustainable solutions that align fiscal goals with export growth.

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Abaran Timeless Jewellery Champions Heritage Conservation To Safeguard Traditional Craftsmanship

Support For Hastashilpa Heritage Village Reflects A Commitment To Preserving India’s Architectural and Artisanal Legacy For Future Generations.

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As India’s historic buildings continue to face mounting pressure from urbanisation, redevelopment, and changing lifestyles, concerns are growing not only about the loss of architectural landmarks but also the disappearance of the traditional skills and craftsmanship that created them. Recognising this challenge, Abaran Timeless Jewellery has extended its support to Hastashilpa Heritage Village, reinforcing the importance of preserving cultural heritage and artisanal knowledge.

Through the Abaran Foundation, the philanthropic arm of the Bengaluru-based jewellery house, the company supports a range of initiatives spanning education, healthcare, community welfare, arts, and heritage conservation. Its association with Hastashilpa Heritage Village reflects a deeper commitment to protecting India’s rich cultural legacy beyond the jewellery industry.

Located in Manipal, Hastashilpa Heritage Village is regarded as one of India’s most significant heritage conservation projects. Founded by conservationist Vijaynath Shenoy, the village has successfully rescued and reconstructed traditional homes from across coastal Karnataka, preserving architectural styles and craftsmanship that may otherwise have been lost to neglect or redevelopment.

The conservation process shares many similarities with the art of jewellery making. Every carved beam, decorative element, and handcrafted detail requires meticulous documentation, restoration, and respect for traditional techniques. Much like restoring an heirloom jewel, preserving heritage architecture demands both technical expertise and cultural sensitivity.

For Pratap Kamath, Managing Director of Abaran Timeless Jewellery, the initiative holds personal significance. He noted that the heritage village is located in Udupi, where Abaran was originally founded by his grandfather, Sri Sadanand Kamath. According to Pratap Kamath, the company was inspired by the efforts to preserve heritage homes that might otherwise have vanished as younger generations moved away in search of new opportunities.

His observations reflect a wider concern within the luxury and craft sectors. Whether restoring a centuries-old structure or creating a handcrafted jewel, both disciplines depend on knowledge and expertise that cannot be easily replicated through mass production. Once lost, such skills are extremely difficult to recover.

At the same time, consumers are increasingly drawn to brands that demonstrate authenticity, cultural relevance, and a commitment to preserving heritage. As a result, heritage conservation is evolving from a philanthropic activity into an important reflection of a brand’s values and identity.

Initiatives such as Hastashilpa Heritage Village serve as an important reminder that heritage extends beyond products—it also includes the ecosystems of craft, culture, knowledge, and tradition that make those creations possible.

As India’s architectural treasures and jewellery traditions navigate similar challenges, efforts to preserve one may ultimately help protect the other, ensuring that valuable skills and cultural legacies continue to inspire future generations.

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