DGFT Revises Import Policy for Jewellery Items under CTH 7113

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Dated: 02.04.2026

DGFT Revises Import Policy for Jewellery Items under CTH 7113

The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce & Industry, Government of India, has issued Notification No. 02/2026-27 dated April 1, 2026, announcing significant amendments to the import policy for items covered under CTH 7113 of Chapter 71 in the ITC (HS) 2022, Schedule-I (Import Policy). These changes, effective immediately, aim to regulate the import of specific jewellery items and parts thereof, made of precious metals or metal clad with precious metals.

Key Highlights of the Notification:

1. Amendments to Import Policy 

The import policy for various items under CTH 7113 has been revised. The changes primarily involve shifting the import status of certain items from “Free” to “Restricted.” Below is a summary of the amendments:

Jewellery with filigree work (ITC HS Code: 71131110): Changed from “Free” to “Restricted.”
Other jewellery studded with pearls (ITC HS Code: 71131142): Changed from “Free” to “Restricted.”
Other jewellery studded with diamonds of heading 7102 (ITC HS Code: 71131143): Changed from “Free” to “Restricted.”
Parts of jewellery (ITC HS Code: 71131190): Changed from “Free” to “Restricted.”
Jewellery of platinum studded with pearls (ITC HS Code: 71131922): Changed from “Free” to “Restricted.”
Jewellery of platinum studded with diamonds of heading 7102 (ITC HS Code: 71131923): Changed from “Free” to “Restricted.”
Jewellery of platinum studded with diamonds of heading 7104 (ITC HS Code: 71131924): Changed from “Free” to “Restricted.”
Jewellery of platinum studded with other precious and semi-precious stones (ITC HS Code: 71131925): Changed from “Free” to “Restricted.”
Other jewellery of platinum (ITC HS Code: 71131929): Changed from “Free” to “Restricted.”
Other jewellery items (ITC HS Code: 71131990): Changed from “Free” to “Restricted.”
Jewellery of base metal clad with precious metal (ITC HS Code: 71132000): Changed from “Free” to “Restricted.”

2. Exemptions

The notification specifies certain exemptions to the revised import restrictions:

100% Export Oriented Units (EOUs) and units located in Special Economic Zones (SEZs) are exempt from these restrictions, provided the imported goods are not sold in the Domestic Tariff Area (DTA).
Imports under schemes for the export of gems and jewellery under Chapter-4 of the Foreign Trade Policy (FTP), 2023 are also exempt from these restrictions.

3. No Transitional Arrangements 

The notification explicitly states that the benefit of transitional arrangements under Para 1.05(b) of FTP 2023 will not apply to the restrictions imposed. This means that the revised import policy will be enforced regardless of any prior contracts, irrevocable letters of credit, advance payments, shipment status, or other commitments.

4. Special Provisions for INDIA-UAE CEPA 

For certain items under CTH 7113, such as gold jewellery (unstudded, studded with pearls, diamonds, or other precious stones), imports under a valid INDIA-UAE Comprehensive Economic Partnership Agreement (CEPA) Tariff Rate Quota (TRQ) will continue to be permitted without requiring an import license.

Implications of the Notification:

The revised import policy is expected to have significant implications for businesses involved in the import of jewellery and related items. By changing the import status of several items from “Free” to “Restricted,” the government aims to regulate the inflow of these goods into the country. This move may encourage domestic production and support the “Make in India” initiative, while also ensuring compliance with trade agreements such as the INDIA-UAE CEPA.

However, businesses must note that the restrictions apply immediately, and transitional arrangements will not be applicable. Importers with existing contracts or shipments in transit will need to comply with the new policy. On the other hand, EOUs, SEZ units, and exporters under Chapter-4 schemes of FTP 2023 can continue their operations without being affected by these restrictions.

Conclusion:

The Government of India’s decision to revise the import policy for items under CTH 7113 reflects its commitment to promoting domestic manufacturing and regulating imports in the jewellery sector. Businesses must carefully review the notification and ensure compliance with the updated import policy to avoid disruptions.

In case you face any issues related to Indirect Tax-Customs, GST, Foreign Trade Policy (FTP), Arbitration matters and Central Licensing and related advisory matters in India then please feel free to get in touch with SJ EXIM Services.

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Source: DGFT

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