G7 delegation explores Indian diamond industry for sanctions compliance

A high-level G7 delegation concluded its visit to India from September 27th to 29th, 2023, as it sought to gain deeper insights into the Indian…

A high-level G7 delegation concluded its visit to India from September 27th to 29th, 2023, as it sought to gain deeper insights into the Indian gem and jewellery industry to help it meet G7 sanctions requirements while minimising disruptions to the sector.

The delegation, comprising members from prominent organisations such as the US State Department, US Department of Treasury, European Commission, Prime Minister’s Office of Belgium, Foreign Trade Department of Belgium, and the Japan Embassy in India, was warmly welcomed by the Gem & Jewellery Export Promotion Council (GJEPC).

During their visit to India, the G7 delegation engaged with Indian trade members, represented by GJEPC and the Bharat Diamond Bourse (BDB). Their primary objective was to understand the ground realities of the industry and identify potential strategies for sanctions compliance and implementation.

In response to the delegation’s inquiries and concerns, GJEPC reaffirmed its commitment to facilitating cooperation and addressing the G7’s worries regarding industry compliance. The delegation had the opportunity to delve into the day-to-day operations of small-scale diamond traders in India when they visited the Mumbai Diamond Merchants’ Association (MDMA). They also gained valuable insights into customs procedures during a visit to the Precious Cargo Customs Clearance Centre (PCCCC), shedding light on the intricacies of trading and cross-border shipments.

Continuing their exploration, on September 28th, the delegation proceeded to Surat, a major hub for the diamond industry. Here, they visited large, medium, and micro diamond processing units, providing them with a holistic understanding of the industry’s spectrum. The state-of-the-art Surat Diamond Bourse was also on their itinerary, along with meetings with local SME associations, workers’ representatives, and artisan union leaders, affording them insights into the trading and manufacturing processes.

On September 29th, the team engaged in a highly productive meeting with officials from the Ministry of Commerce, accompanied by trade leaders. During this session, both sides discussed the way forward and committed to finding practical solutions for future compliance. Additionally, the delegation had the opportunity to visit the GIA laboratory in Mumbai and interact with jewellery manufacturers at the SEEPZ Special Economic Zone.

In summary, the G7 delegation’s visit to India was deemed a fruitful and informative engagement. It enabled them to obtain a comprehensive understanding of India’s diamond industry, its challenges, and potential solutions for compliance with G7 sanctions. The visit underscored the importance of collaboration and dialogue between nations and industries to address complex global issues.

Further reading: