The Reserve Bank of India\u2019s trade relief measures come as a crucial lifeline, particularly for the gems and jewellery sector, which is highly capital-intensive and heavily export-oriented. In recent months, GJEPC had emphatically urged the RBI to implement a deferment or moratorium on interest payments, along with an extension of pre-shipment and post-shipment credit timelines.<\/p>\n
These measures are vital amid ongoing challenges, especially since a large portion of exports\u2014mainly diamonds and diamond jewellery\u2014are directed to the US. The sector has been grappling with prolonged payment realisation cycles and tightening liquidity, making RBI\u2019s interventions timely and essential to support sustained export activity and financial stability.<\/p>\n
Kirit Bhansali, Chairman, GJEPC, commented, \u201cThe Trade Relief Measures announced by the Reserve Bank of India will provide timely and much-needed relief to exporters at a challenging point for global trade. Over the past several months, GJEPC has consistently highlighted to the RBI the strain on our members caused by delayed realisation cycles, rising financing costs, and tightening liquidity conditions.<\/p>\n
\u201cThe extension of the export credit tenor to 450 days, the increase in the export realisation period from 9 months to 15 months, and the permission to ship exports against advance payments for up to 3 years will greatly enhance operational flexibility. Coupled with the moratorium on term-loan instalments and working-capital interest, these measures will ease cash-flow pressures for the capital-intensive gem and jewellery sector. They will support business continuity, help maintain credit discipline, and enable exporters to navigate the current global headwinds with greater stability and confidence.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
The Reserve Bank of India\u2019s trade relief measures come as a crucial lifeline, particularly for the gems and jewellery sector, which is highly capital-intensive and heavily export-oriented. In recent months, GJEPC had emphatically urged the RBI to implement a deferment or moratorium on interest payments, along with an extension of pre-shipment and post-shipment credit timelines.…<\/p>\n","protected":false},"author":1,"featured_media":34030,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[83],"tags":[],"thb-sponsors":[],"class_list":["post-34029","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bulletin"],"acf":[],"yoast_head":"\n