India-Australia trade deal expected to boost gems, jewellery sector
30 November, 2022 | Vaishali Sharma
Due to privileged access granted to India's gem and jewellery exports to the island country, the India-Australia trade deal is estimated to generate millions of dollars in new commerce.
Due to privileged access granted to India’s gem and jewellery exports to the island country, the India-Australia trade deal is estimated to generate millions of dollars in new commerce.
The industry organisation, the Gem and Jewellery Export Promotion Council (GJEPC), anticipates that the trade agreement would increase bilateral gem and jewellery commerce from USD 1.3 billion to USD 2 billion yearly. Plain gold jewellery, studded jewellery, and cut and polished diamonds are among the most important items sent to Australia. Australia’s largest imports are precious metals such as gold and silver bars.
“Since the India-Australia negotiations started, India’s gem and jewellery exports have witnessed positive growth, complementing the upcoming India-Australia ECTA. India’s G&J exports to Australia grew 21% to 183.86 million during April – October 2022 as compared to the same period last year,” said Vipul Shah, Chairman of the council, in a statement on Wednesday.
Chairman Shah said he expects Australia to benefit from access to areas where India is a world leader, such as diamonds.
“By providing preferential access for Indian gems and jewellery exports, the deal also makes it cheaper for Australian retailers to procure world-class jewellery crafted with finesse from Indian manufacturers,” Shah added. Australia is one of India’s large suppliers of gold bullion, and until recently, it was also a key supplier of diamonds.
Australia’s High Commissioner to India Barry O’Farrell today said the economic agreement will enter into force on December 29.
This declaration comes only a week after Australian Prime Minister Anthony Albanese announced that the country’s Free Trade Agreement (FTA) with India had been approved by the Australian Parliament.