Gem & Jewellery Export Promotion Council (GJEPC) is leading industry-wide consultations to formulate recommendations on gold monetisation and measures to reduce India’s current account deficit (CAD), following initial discussions on precious metals convened by the Ministry of Commerce & Industry.
The consultations are being carried out in coordination with All India Gem and Jewellery Domestic Council (AIGJC), industry stakeholders and GJEPC members. The industry body is expected to submit a consolidated proposal to the Government by June 5, 2026, with member feedback invited till May 28.
Focus on recycling and low-carat jewellery
The proposed industry paper is expected to focus on promoting low-caratage jewellery, revamping the Gold Monetisation Scheme (GMS) to mobilise idle household gold, encouraging exchange of old jewellery to improve recycling and discouraging passive gold investments such as bars and coins.
The proposal also supports wider adoption of 9K, 14K and 18K hallmarked jewellery, enhanced export incentives for the gems and jewellery sector and stronger safeguards against gold smuggling.
Jewellers to play key role
According to industry discussions, jewellers are expected to remain the primary implementation channel for proposed monetisation initiatives, supported by declaration, valuation and monitoring mechanisms. Measures such as hedging and price protection may also be explored to address gold price volatility.
However, the industry paper will exclude temple gold, income tax amnesty measures and any recommendation relating to reduction in gold import duty.