In a significant move impacting India’s jewelry sector, the Directorate General of Foreign Trade (DGFT) has announced new wastage and Standard Input Output Norms (SIONs) for jewelry, set to take effect on January 1, 2025. These updated regulations, initially announced in May 2024, have undergone further adjustments following extensive industry feedback and aim to streamline raw material use while preserving traditional craftsmanship.
The initial May 2024 notice introduced a substantial reduction in permissible wastage across jewelry categories, sparking immediate discussions within the industry. Recognizing the impact of these reductions, the Gem and Jewellery Export Promotion Council (GJEPC) swiftly organized a meeting with DGFT officials, advocating for a data-driven approach that reflects real-world manufacturing workflows.
In response, the GJEPC conducted an extensive nationwide survey, gathering insights from 160 exporters and manufacturers. The findings highlighted key industry needs: realistic wastage norms aligned with manufacturing processes and a sufficient transition period to adapt to the new standards.
Following the survey results and constructive dialogue with DGFT, both industry requests have been approved. The revised norms will now honor established process loss benchmarks as outlined in the Handbook of Procedures 2023, incorporating adjustments to better align with jewelry manufacturing practices. These revised wastage norms and SIONs provide clarity on permissible raw materials for specified quantities of finished jewelry, benefiting traditional artisans and modern manufacturers alike by balancing efficiency with artistry.
The new wastage standards will replace the current guidelines starting January 1, 2025, while the existing norms remain effective through December 31, 2024, ensuring a smooth transition for jewelry producers across India.
This thoughtful adjustment reflects a collaborative effort to safeguard traditional practices and enhance precision in jewelry manufacturing, providing both stability and innovation in the industry as it enters the new year.
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