The council notes that current European Union import duties significantly constrain the competitiveness of Indian exporters
With the India-EU Free Trade Agreement (FTA) negotiations nearing conclusion and the upcoming India-EU Summit in New Delhi on 27 January 2026, the Gem and Jewellery Export Promotion Council (GJEPC) has been consistently urging the government to negotiate duty-free market access for Indian made jewellery exports to the EU. With the gold/silver prices at an upsurge, this will give a very significant market advantage to Indian made products, it said.
The GJEPC notes that current EU import duties, ranging from 2.5 per cent to 4% per cent on gold, silver, platinum, imitation jewellery and coins, significantly constrain the competitiveness of Indian exporters.
To address this, the Council has formally sought the removal or reduction of these tariffs. In a move to ensure a balanced and mutually beneficial agreement, the GJEPC has also proposed calibrated concessions on select imports from the EU, particularly regarding diamonds and coloured gemstones.
Commenting on the critical nature of these negotiations, Kirit Bhansali, Chairman, GJEPC, said, “We have high expectations that this agreement will deliver concrete gains for the gem and jewellery sector. Tariff reduction on jewellery products is critical to help Indian exporters raise their share in Europe’s large import market, improve margins for MSMEs, and support employment across the value chain.”
A strong FTA is viewed as a catalyst for transforming the Indian export profile. By levelling the playing field, the GJEPC believes Indian exporters can move beyond raw material supply to scale volumes in higher-value jewellery categories, strengthening India’s long-term positioning in the global trade ecosystem.
GJEPC has expressed high expectations for the pact. The apex body is urging the Indian government to secure meaningful, sector-specific outcomes that will significantly expand India’s footprint in the lucrative European gem and jewellery market.
India and the European Union already share a robust bilateral trade relationship in the sector, valued at around USD 5.15 billion. As of CY2024, India’s exports to the EU stood at USD 2.7 billion, while imports totaled USD 2.5 billion.
