INDIA HAS become one of the early adopters of distinct HS Codes for both rough and polished synthetic diamonds, a consumer-friendly and trade-friendly initiative that enhances the ease of doing business.
The new amendment bifurcates the earlier six-digit code into two categories. Henceforth, it proposes, all unworked or simply sawn or roughly shaped laboratory-created or laboratory-grown or man-made or cultured or synthetic diamonds will be covered by HS Code 7104.20.10, while all other synthetic gemstones (non-diamond) in the same categories will come under the separate HS Code 7104.20.90. Previously, rough lab-grown diamonds fell under the HS Code 7104-2000, defined as synthetic rough and rough other than synthetic. Now India has introduced a separate code for laboratorygrown/synthetic rough diamonds.
Pramod Kumar Agrawal, Chairman, Gem and Jewellery Export Promotion Council (GJEPC), said, ‘We welcome the announcement of a separate, distinct HS Code for lab-grown synthetic diamonds introduced by the government during the Union Budget as it clearly distinguishes natural diamonds from lab-grown synthetic diamonds. This will go a long way in strengthening the efforts of the council to monitor the two pipelines and maintain their integrity.’
|Type of diamonds/precious stones||Origin||Key HS codes|
|Lab-grown (man-made) rough diamonds||Man-made diamond||71042010|
|Lab-grown (man-made) polished diamonds||Man-made diamond||71049010|
|Rough synthetic stone||Rough synthetic stone||71042090|
|Polished synthetic stone||Polished synthetic stone||71049090|