New Delhi [India], January 21 : Department of Commerce, Government of India has introduced the Diamond Imprest Authorization (DIA) Scheme on Tuesday, aiming to enhance the global competitiveness of India's diamond sector, the Ministry of Commerce and Industry stated in a release.
Among the key features, this scheme allows the duty-free import of Natural Cut and Polished Diamonds, of less than 1/4 Carat (25 Cents). This scheme mandates export obligation with a value addition of 10 per cent, the release added.
All Diamond exporters holding Two Star Export House status and above and having USD 15 Million exports per year, are eligible for availing the benefit under this scheme, the Ministry added in the release.
The ministry further added that the scheme is made in response to Beneficiation policies undertaken in a number of natural diamond mining countries like Botswana, Namibia Angola etc where Diamond manufactures are obliged to open cut and polishing facilities for a minimum percentage of value addition.
This scheme is aimed towards retaining India's position as a global leader in the entire value chain of Diamond industry, the ministry added.
The scheme is designed to provide a level playing field for Indian diamond exporters, particularly MSME exporters, enabling them to compete effectively with larger peers, the release added. It aims to prevent the potential flight of investments by Indian diamantaires to diamond-mining destinations, as per the release.
Additionally, the scheme is expected to generate more employment opportunities, particularly for diamond assorters and in the processing of semi-finished diamonds in factories, the release added.
By facilitating Indian exporters, it seeks to protect the domestic diamond processing industry and sustain the associated employment, the release added.
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