GST Reforms Spark Hope in Gems and Jewellery Sector

The GST on gems and jewellery remains at 3%, but reforms in other sectors could indirectly benefit this industry. While direct relief is absent, the changes may boost consumption and empower consumers. Industry leaders are optimistic about increased demand and consumer investment, despite unchanged costs.

The government's decision to maintain a 3% GST on gems and jewellery found support among industry stakeholders, despite no direct reforms for the sector. The broader GST changes are expected to stimulate consumption, indirectly benefiting the gems and jewellery industry over time.

Assuring optimism for the future, All India Gem and Jewellery Domestic Council (GJC) Chairman Rajesh Rokde expressed that while the reforms do not alleviate immediate input costs and compliance burdens, they do encourage increased consumer spending in other areas, potentially fueling a market boost.

GJC Vice Chairman Avinash Gupta noted the new GST's impact on disposable income, suggesting a rise in aspirational purchases and lifestyle upgrades. This environment empowers consumers to see jewellery as an investment, paving the way for demand growth, especially from new demographics.

(With inputs from agencies.)