India Restricts Platinum Jewellery Imports to Curb FTA Misuse
The Indian government has imposed immediate restrictions on imports of specific platinum jewellery categories until April 2026, requiring special licenses to prevent misuse of free trade agreements.
Key Details
- Import policy changed from “Free” to “Restricted” for certain platinum jewellery
- Valid until April 30, 2026
- Importers must obtain licenses from DGFT
- Follows similar restrictions on silver jewellery imposed in September
The Directorate General of Foreign Trade (DGFT) announced the policy revision in a recent notification, stating the restrictions take immediate effect.
Background and Context
This action follows similar import curbs on silver jewellery implemented in September, valid until March 31 next year. Both measures target attempts to import precious metals under the guise of unstudded jewellery from countries like Thailand.
India’s free trade agreement with ASEAN (Association of South-East Asian Nations), signed in 2009, includes Thailand as a member. Officials identified traders exploiting duty differentials and circumventing tariffs through this agreement.
Official Statement
“Some traders were trying to use the FTA to make a quick buck by exploiting duty differentials and circumventing tariffs,” an official confirmed.
“So that’s what we are trying to control through this. So these kinds of controls are going on,” the official added.
The government is working to strengthen rules of origin mechanisms to prevent future misuse: “…we are learning from all these rules used by the trade and trying to see that the rules of origin provide mechanisms which can address it without getting into these kinds of notifications in future.”
