American diamonds are forever
If American diamond-studded jewellery is more your taste, go right ahead and flaunt them. For now, gold and silver jewellery studded with synthetic diamonds will be lighter on your pocket, thanks to the 5% reduction in customs duty on rough as well as cut and polished cubic zirconia. Zirconia, a synthetic diamond, is popularly known as American diamond. While FM has exempted rough zirconia, which used to attract 5% customs duty, he has brought down customs duty on cut and polished zirconia from 10% to 5%. Customs duty on rough coral, largely used in jewellery for religious purposes, has also been slashed from 10% to 5%. “Buyers of American diamond-studded gold and silver jewellery will be marginally benefitted by the move,” said Gitanjali group chairman Mehul Chokshi. Gems and jewellery manufacturers, however, were not impressed. Sanjay Kothari, chairman, Gems and Jewellery Export Promotion Council said: “FM has done nothing to improve the global standing of the Indian gems and jewellery sector.”