The Gem & Jewellery Export Promotion Council (GJEPC) has welcomed the elimination of import duties on Indian gem and jewellery products under the India–European Union Free Trade Agreement (FTA).

According to GJEPC, the agreement removes import duties ranging from 2% to 4% on precious jewellery and fashion jewellery, providing Indian exporters with duty-free access to the 27-member European Union market.

India’s gem and jewellery exports totalled $ 30 billion in CY2024. Bilateral trade between India and the EU reached $ 5.2 billion, with exports at $ 2.7 billion and imports at $ 2.5 billion. Exports to the EU accounted for 8.92% of India’s total sector exports.

EU jewellery imports from India currently stand at $ 628 million, including $ 573 million in precious jewellery and $ 55 million in fashion jewellery. These products earlier attracted duties of 2% to 4%, while competing suppliers from non-FTA countries faced lower tariff barriers.

Reacting to the development, GJEPC Chairman Kirit Bhansali thanked Prime Minister Narendra Modi and Commerce and Industry Minister Piyush Goyal for securing the agreement, referring to it as the “mother of all trade deals.”

In his official statement, Bhansali said:

“The India-EU FTA will supercharge market diversification for the gem and jewellery industry. This transformative pact aims to double bilateral trade to $ 10 billion (~Rs 91,000 crore) within three years. Zero-duty access to the world's largest consumer market empowers export hubs in Gujarat, Rajasthan, Maharashtra, and West Bengal to ramp up shipments of precious jewellery (plain and studded), silver, and imitation jewellery—capitalizing on India's renowned design prowess. Especially with exports to the USA down by 44%, this timely pact will help Indian exporters salvage lost ground.

Amid soaring metal prices and evolving trade dynamics, the deal enhances margins, sharpens our competitive edge in design and craftsmanship, accelerates manufacturing, and generates jobs. For Indian jewellery retailers, it opens doors to expand brands across Europe, building on their rising global footprint.”

GJEPC stated that zero-duty access will support exports across gold, studded, silver, coloured gemstone and fashion jewellery categories, strengthening India’s long-term trade position in Europe.