GJEPC Raises Concerns Over G7 Ban on Russian Diamonds, Seeks Flexibility

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The Gem and Jewellery Export Promotion Council (GJEPC) has voiced its concerns regarding the G7's decision to impose a ban on direct imports of Russian-origin diamonds starting January 1, 2024. The council has urged for greater flexibility in the implementation timeline of these restrictions.

GJEPC Chairman's Statement

GJEPC Chairman Vipul Shah issued a statement expressing the industry's apprehensions about the G7's decision. He highlighted that while the move was not entirely unexpected, it raises valid concerns for the Indian gems and jewellery trade.

Engagement with G7

Shah stated that the GJEPC had actively engaged with the G7 to discuss the potential sanctions and their implications. However, the council has reservations about the announced timelines for implementing the restrictions.

Request for Flexibility

Recognizing the diversity of the industry, Shah emphasized the need for more flexibility in the timelines. He believes that such an approach would better accommodate the industry's complexities and mitigate potential disruptions.

G7's Decision

On Wednesday, G7 leaders announced their decision to introduce import restrictions on non-industrial diamonds mined, processed, or produced in Russia. The restrictions will take effect on January 1, 2024, followed by phased restrictions on Russian diamonds processed in third countries starting March 1, 2024.

GJEPC's Queries

While respecting the G7's decision, Shah raised several questions regarding the implementation of the sanctions. He sought clarification on the definition of a "major rough diamond importer" within the G7 and the extent of its authority in determining the compliance of Indian diamond exports to the G7.

Advocacy for SMEs

Shah emphasized the importance of considering the interests of small and medium enterprises (SMEs) and marginal diamond units when implementing the sanctions. He stressed the significant contributions of these entities to the industry and the livelihoods they support.

Collaboration and Representation

The GJEPC plans to engage with the World Diamond Council (WDC) and align with all stakeholders to minimize disruptions to their businesses. Additionally, the council is making representations to the Indian government, confident that the leadership will safeguard the interests of the Indian trade.

About GJEPC

The GJEPC serves as the apex body of the gems and jewellery industry in India, representing over 9,000 members across the sector.