Union Budget 2026-27: Reaction by Shri Kirit Bhansali, Chairman, GJEPC

Kirit Bhansali - Chairman, GJEPC

“We thank the Government for a positive, growth-focused Budget that addresses key bottlenecks and gives fresh momentum to India’s gems and jewellery sector. It improves liquidity, supports manufacturing and strengthens exports across the value chain. 

GJEPC welcomes the Union Budget's transformative customs reforms, recommended for adoption. Trust-based processes, digital appraisals, and simplified clearances will slash delays and costs, accelerating business growth.

We also applaud the limited sales from SEZs to the Domestic Tariff Area at concessional duties. This will enable factories to utilize idle capacity, safeguard jobs, and strengthen trade amid US tariffs and global demand volatility.

The removal of the ₹10 lakh cap on courier exports is a big boost for e-commerce, enabling MSMEs, artisans and small jewellery brands to reach global buyers directly, with smoother handling of returns and quicker turnaround.

Filing the Bill of Entry in advance for trusted importers will enable immediate clearance of goods on arrival, reducing waiting time at ports, speeding up deliveries and lowering logistics costs for exporters and manufacturers.

With MSMEs forming over 80% of our industry, measures such as the INR 10,000 crore SME Growth Fund, INR 2,000 crore support for micro units and INR 7,00,000 crore liquidity through TReDS, along with stronger banks, restructuring NBFCs will ease credit and drive expansion.

Extending the duty deferment period for Authorised Economic Operators (AEOs) from 15 to 30 days and offering similar benefits to eligible manufacturers will improve cash flow, reduce compliance burden and enable faster, helping exporters move goods quicker and operate with greater ease.

Extending duty-free import of Lab-Grown Diamond (LGD) seeds and Sawn Diamonds till March 2028 is a timely and practical step. It keeps input costs low, supports production and exports, and safeguards a fast-growing segment where India already leads globally, helping secure the future of our industry.

Setting up a new National Institute of Design will strengthen design talent and innovation in the country. For the gems and jewellery sector, this means better product development, contemporary styling and stronger branding, helping Indian manufacturers move up the value chain and compete more effectively in global markets.

Overall, this Budget gives the right push for growth towards Viksit Bharat and moves us closer to our goal of scaling exports to $100 billion by 2047."