shot-button
Maharashtra Elections 2024 Maharashtra Elections 2024
Home > News > India News > Article > Budget 2023 Govt to cut import duty on raw material for lab grown diamonds

Budget 2023: Govt to cut import duty on raw material for lab-grown diamonds

Updated on: 01 February,2023 02:31 PM IST  |  New Delhi
PTI |

In her Budget 2023 speech, Finance Minister Nirmala Sitharaman said that India is a global leader in the cutting and polishing of natural diamonds, contributing about three-fourths of the global turnover by value

Budget 2023: Govt to cut import duty on raw material for lab-grown diamonds

Representative Image. Pic/iStock

The government on Wednesday proposed a cut in import duty on seeds used to make lab-grown diamonds with a view to boosting domestic manufacturing.


In her Budget 2023 speech, Finance Minister Nirmala Sitharaman said that India is a global leader in the cutting and polishing of natural diamonds, contributing about three-fourths of the global turnover by value.


"With the depletion in deposits of natural diamonds, the industry is moving towards Lab Grown Diamonds (LGDs) and it holds huge promise. To seize this opportunity, I propose to reduce basic customs duty on seeds used in their manufacture," she said.


Gem and jewellery exporters had demanded a cut in the import duty.

Also Read: Budget 2023: 3 centres of excellence for AI, 100 labs in engineering colleges for developing 5G applications

The industry stated that the conventional source of rough diamonds across the world faces threats of deposit depletion, which also contribute to the exponential increase in the cost of extraction. Industries have thus found lab-grown diamonds to be a profitable alternative.

These lab-grown or man-made diamonds are grown inside a lab using cutting-edge technologies under specific parameters.

They have a similar physical appearance, chemical composition and optical qualities as natural diamonds.

An LGD is produced using a seed, which is a crucial raw material.

"It was a mixed budget for the gems and jewellery industry as the finance minister did acknowledge the potential of the LGDs for exports, and to create employment," Kama Jewelry fonder and Managing Director Colin Shah said.

This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.

"Exciting news! Mid-day is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest news!" Click here!

Register for FREE
to continue reading !

This is not a paywall.
However, your registration helps us understand your preferences better and enables us to provide insightful and credible journalism for all our readers.

Mid-Day Web Stories

Mid-Day Web Stories

This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK