Indian government takes major step for jewelry sector
What's the story
The Indian government has expanded the SEZ Rules, 2006, to include jewelry in Free Trade Warehousing Zones (FTWZ). The move is expected to provide more opportunities for the jewelry industry and enhance India's position as a reliable global trading hub. The Gem and Jewellery Export Promotion Council (GJEPC) announced this development in a recent press release.
Policy details
Addition completes value chain within SEZ-linked ecosystem
As per a circular dated March 3, 2016, FTWZ units were already authorized for storage and vaulting of precious commodities such as gold, silver, platinum, gems, and precious stones. The latest clarification from the government has now added jewelry to this list. This addition completes the value chain within the SEZ-linked FTWZ ecosystem, GJEPC said in its statement.
Industry response
Major step by industry players
The inclusion of jewelry under the FTWZ framework is seen as a major step by industry players. Kirat Bhansali, Chairman of GJEPC, said it meets a critical need in today's global environment. He added that this move enables secure storage and efficient movement of high-value inventory while strengthening India's position as a reliable and competitive trading destination for the global gems and jewelry community.
Regional impact
Industry leaders welcome decision
Surat's Jayanti Savaliya, Regional Chairman of GJEPC, welcomed the announcement. He said it would be a huge opportunity for the city's globally renowned diamond industry. Savaliya added that this move will revolutionize India by optimizing logistics, easing compliance and supporting export growth. Prapanjj S.K. Kota, Founder of Reia Diamonds also welcomed the decision as it would streamline operations in domestic markets relying on imported materials like lab-grown diamonds.
Market growth
GJEPC optimistic about India's growing gems and jewelry market
India's gems and jewelry market, which stood at ₹7,31,255 crore ($85 billion) in January 2025, is expected to grow to ₹11,18,390 crore ($130 billion) by 2030. The GJEPC said the latest move fills a critical gap in the existing framework by allowing finished jewelry to be stored, displayed and traded within FTWZs. It also provides a secure mechanism for handling high-value inventory during global uncertainty periods.