Department of Commerce introduces Diamond Imprest Authorization Scheme
The Department of Commerce introduced the Diamond Imprest Authorization (DIA) Scheme on 21 January 2025, allowing duty-free import of natural cut and polished diamonds below ¼ carat, effective 1 April 2025.
Summary
The Department of Commerce introduced the Diamond Imprest Authorization (DIA) Scheme on 21 January 2025 to boost the global competitiveness of India's diamond sector. The scheme allows duty-free import of natural cut and polished diamonds of less than ¼ carat (25 cents), with an export obligation carrying 10% value addition, and will be implemented from 1 April 2025. Diamond exporters with Two Star Export House status and above and annual exports of US$15 million are eligible. The scheme responds to beneficiation policies of diamond-mining countries such as Botswana, Namibia and Angola, and aims to support MSME exporters.
Key facts
- Introduced
- 21 January 2025, Department of Commerce
- Effective
- 1 April 2025
- Covers
- Duty-free import of natural cut and polished diamonds below ¼ carat (25 cents)
- Export obligation
- 10% value addition
- Eligibility
- Two Star Export House and above with US$15 million exports a year
- Context
- Beneficiation policies of Botswana, Namibia, Angola
Practice MCQs 3 questions
From when will the Diamond Imprest Authorization Scheme, introduced in January 2025, be implemented?
Show answer
Correct answer: D — 1 April 2025
PIB 2094862: the DIA Scheme will be implemented with effect from 1 April 2025.
The Diamond Imprest Authorization Scheme allows duty-free import of natural cut and polished diamonds of what size?
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Correct answer: A — Less than ¼ carat (25 cents)
PIB 2094862: the scheme allows duty-free import of natural cut and polished diamonds of less than ¼ carat (25 cents).
Consider the following about the Diamond Imprest Authorization Scheme: 1. It mandates an export obligation with 10% value addition. 2. Exporters with Two Star Export House status and above and US$15 million annual exports are eligible. 3. It allows duty-free import of lab-grown diamonds. Which of the statements given above is/are correct?
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Correct answer: C — 1 and 2 only
PIB 2094862: the scheme requires 10% value addition and is open to Two Star Export Houses with US$15 million exports; it covers natural cut and polished diamonds.