Exporters of Gem and Jewellery are eligible to import their inputs by obtaining Replenishment (REP) Licence and Diamond Imprest Licences from the Licensing Authorities.
REP Licences are granted at the rate and for the items. Such licenses may also be issued for import of consumables or for plain / studded jewellery.
Diamond Imprest Licence is issued in advance for import of rough diamonds from any source. Diamond Imprest Licence for import of cut and polished diamonds for mixing with cut and polished diamonds or for export as it is, may also be issued for export of cut and polished diamonds. Such licences shall carry an export obligation which shall be fulfilled within a period of five months from the date of clearance through customs.
Firms and companies dealing in the purchase / sale of rough or cut and polished diamonds / diamond studded jewellery with a track record of at least three years in import or export of diamonds / diamond studded jewellery and having an average annual turnover or Rs. 5 crores or above during preceding three licensing years may carry out their business through designated Diamond Dollar Accounts. Dollars in such accounts available from bank finance and / or export proceeds shall be used for…..
(i) Import / purchase of rough diamonds from overseas / local sources
(ii) Purchase of cut and polished diamonds from local sources
(iii) Import / purchase of gold from overseas / nominated agencies and repayment of the dollar loans from the bank
(iv) Transfer to the Rupee Account of the exporter
Exporters of gold / silver / platinum jewellery and articles thereof may import their essential inputs such as gold, silver, platinum, mountings, findings rough gems, precious and semi-precious stones, synthetic stones and unprocessed pearls etc. in accordance with the procedures specified in this behalf.