Page 49 - Bullion World Issue 1 May 2021

Bullion World | Issue 01 | May 2021
Maharashtra: Gems, jewellery
manufacturing activities

exempted from emergency
measures

The Gem and Jewellery Export Promotion Council (GJEPC) said the Maharashtra
government has allowed export operations to resume with restrictions in number
of people working in the manufacturing units during the ongoing night curfew and
weekend lockdowns, to curtail the coronavirus spread. In a virtual meeting with
the gems and jewellery manufacturers and exporters, Maharashtra Chief Minister
Uddhav Thackeray said manufacturing and ancillary activities in the state would
be exempted from the ongoing emergency measures during the second wave of
Covid-19, GJEPC said in a statement.

GJEPC chairman Colin Shah requested the Chief Minister to consider a waiver
on the double stamp duty paid by the diamond industry when seeking loans from
banking consortiums. He also pointed out that none of the nominated agencies were
importing gold into Mumbai as Maharashtra is the only state to impose stamp duty
on gold imports. "A waiver of stamp duty on gold imports into Mumbai would boost
the state's revenues," Shah added.

Source: https://retail.economictimes.indiatimes.com

SEBI mulls a spot Demand for

bullion exchange gold goes up

in Mumbai marginally in

Markets regulator SEBI is mulling a bullion Chennai
spot exchange in Mumbai, a move that
could clash with the plans announced by Association (IBJA), Gem & Jewellery Jayantilal Challani, president, Jewellers
the Gujarat International Finance Tec-City Export Promotion Council (GJEPC). and Diamond Traders’ Association,
(GIFT). They act as self-regulatory organisations Madras, said business was better in
and play a vital role in policies on spot tier-2 towns when compared to Chennai.
The Securities and Exchange Board of markets. Many customers who want to make small
India (SEBI) was designated to regulate investments choose gold now. Only 50%
the spot bullion market in February by the Turf war of the customers are allowed in most
Finance Minister in the budget speech. Industry watchers said that SEBI may shops as part of COVID-19 protocols.
SEBI has held two meetings with the be headed for a turf-war with the GIFT Several shops have started engaging
National Stock Exchange, the BSE, the regulator. The NSE, BSE, MCX and staff members for work in batches. Many
Multi Commodity Exchange and the NCDEX have already signed MoUs for jewellers are managing with available
National Commodities and Derivatives setting up a spot bullion exchange in stock as the situation is yet to stabilise.
Exchange so far to discuss the matter, Gandhinagar. The India INX exchange Supply of handmade jewellery from other
sources told BusinessLine. has even got an approval. The GIFT places has dropped by about 40%,”
regulator was planning on the lines of he said. Recalling that the gold price
While MCX wants the spot platform in Shanghai exchange, which does both had peaked at ₹5,380 in August, Mr.
the same entity alongside its derivative domestic and international trades on Challani said a mobile application called
platform, NCDEX wants a separate the same platform, the sources said. MJDTA, which had several features
subsidiary structure, which other If a bullion spot exchange comes up and information on gold rates and price
exchanges are not averse to, sources said. in Mumbai, it is likely that international trends, would help customers and
players will not be able to trade there jewellers learn about the fluctuations in
China has a spot exchange for bullion initially as several policy changes will price trend and choose the right time to
known as the Shanghai Gold Exchange be required. But it is different for GIFT buy ornaments. The association has also
that has a benchmark called the ‘Shanghai since it is an off-shore market and has put up information for jewellers, including
Gold Fix.’ The government is thinking permission for international players. Also, details regarding financial services and
on the same lines of creating an Indian the entire ecosystem including delivery guidelines to open jewellery stores
benchmark, sources said. centres and hallmark agencies will have
to be regulated by SEBI. Source: https://www.thehindu.com
Currently, the gold pricing scenario in
India is dominated by two organisations, Source: https://www.
including the Indian Bullion and Jewellers thehindubusinessline.com

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