Silent Govt Move on Silver: Import Curbs on Diamond Jewellery May Push Prices Higher

The government has quietly imposed restrictions on the import of diamond-studded silver jewellery, a move that could significantly impact the domestic jewellery market. Earlier, such imports were freely allowed, but now they fall under the “restricted” category, requiring a license and immediate compliance. Importantly, the restriction does not apply to all silver jewellery. Regular items like chains, anklets, and bangles remain unaffected. The focus is specifically on silver jewellery embedded with diamonds or stones, which had become a major import route in recent years. The decision aims to close a loophole where low-cost silver jewellery, often imported from countries like Thailand and Vietnam, was upgraded with small diamonds and sold at premium prices in India. This created unfair competition for domestic jewellers. With imports becoming more difficult, supply may tighten, which could push silver jewellery prices higher in the coming months. At the same time, the move is expected to support local manufacturers and align with the government’s “Make in India” push.