GJEPC welcomes apex bank's move to liberalise gold import.

SURAT: The Gems and Jewellery Export Promotion Council (GJEPC) has welcomed the Reserve Bank of India's (RBI) decision to liberalize gold import norms under the 80:20 rule, saying that it will to boost the gold jewellery export from the country.

RBI has allowed the star and premier export houses to import the commodity, while banks and nominated agencies have been allowed to provide gold for domestic use as loans to jewelers and bullion traders.

GHEPC said that as the gold supply becomes smoother, the domestic industry will be able to increase their exposure in the export markets, especially in US where the demand is expected to rise following the economic recovery.

Following the import curbs on gold by the previous UPA government, the export of gold jewellery from the country had suffered a major set back in 2013-14.

"We could not export much of gold jewellery in 2013-14 because of the government curbs on gold imports," Vipul Shah, chairman of GJEPC said.

He said GJEPC had sought relaxation in gold import duty to ensure adequate supply of the metal and help meet export demands for jewellery.

According to the latest data of GJEPC, gold jewellery exports fell to Rs 47,716 crore in 2013-14 from Rs 71,295 crore in the year-ago period.

Similarly, shipments of gold medallion and coins fell to Rs 19,203 crore from Rs 28,490 crore, exports of coloured gems stones declined marginally to Rs 3,136 crore from Rs 3,543 crore in the review period.

Source : timesofindia.indiatimes.com