GJEPC on India–EU FTA: Zero-Duty Access Set to Double Gem & Jewellery Trade to USD 10 Billion (~₹91,000 Crore)
The Gem & Jewellery Export Promotion Council (GJEPC) has welcomed the removal of import duties on Indian gem and jewellery products under the India–EU Free Trade Agreement (FTA), calling it a major boost for exports. The move eliminates the existing 2–4% duty on precious jewellery, unlocking significant growth opportunities across the 27-nation European Union—one of the world’s most premium consumer markets.
In calendar year 2024, India’s gem and jewellery exports stood at USD 30 billion. Trade with the EU totalled USD 5.2 billion, comprising USD 2.7 billion in exports (8.92% of India’s total exports) and USD 2.5 billion in imports. However, EU jewellery imports from India remain modest at USD 628 million, including USD 573 million in precious jewellery and USD 55 million in fashion jewellery—categories that currently face 2–4% import duties, placing Indian exporters at a disadvantage compared to non-FTA competitors.
GJEPC Chairman Kirit Bhansali expressed gratitude to Hon’ble Prime Minister Narendra Modi and Union Minister for Commerce & Industry Piyush Goyal for concluding the India–EU FTA, describing it as the “mother of all trade deals.”
According to the Council, the agreement will significantly enhance market diversification for India’s gem and jewellery sector, with the potential to double bilateral trade to USD 10 billion (approximately ₹91,000 crore) within three years. Duty-free access to the world’s largest consumer market is expected to empower major export hubs such as Gujarat, Rajasthan, Maharashtra and West Bengal, enabling higher shipments of plain and studded precious jewellery, silver and other products that showcase India’s design excellence. With exports to the US declining by 44%, the FTA arrives at a crucial time, helping exporters recover lost momentum.
Against the backdrop of rising metal prices and shifting global trade dynamics, the agreement is expected to improve margins, strengthen India’s competitive positioning in design and craftsmanship, accelerate manufacturing activity and generate employment. It also creates new avenues for Indian jewellery retailers to expand their brands across Europe, building on their growing international presence.
Zero-duty access under the FTA is set to benefit a wide range of segments, including lightweight and minimalist gold jewellery, machine-made and studded pieces, silver, coloured gemstone jewellery and fashion jewellery. Over the long term, the pact is expected to drive export growth, enhance competitiveness, create jobs and significantly strengthen India–EU gem and jewellery trade.