Effective April 1, 2025, India will implement the Diamond Imprest Authorization (DIA) Scheme, allowing duty-free imports of natural cut and polished diamonds under 0.25 carats. The scheme targets exporters holding ‘Two Star Export House’ status with annual exports of at least $15 million. Participants are required to achieve a minimum of 10% value addition on these imports before re-exporting.
This initiative aligns with policies in diamond-producing nations like Botswana and Namibia, where local processing is mandated. The Indian government aims to bolster its position in the global diamond industry, mainly supporting micro, small, and medium enterprises (MSMEs). The Ministry of Commerce and Industry stated, “This scheme is aimed towards retaining India’s position as a global leader in the entire value chain of the global diamond industry.”
The DIA Scheme is expected to enhance India’s diamond exporters’ competitiveness by reducing import costs and streamlining procedures. It also seeks to prevent the relocation of investments to other countries, thereby preserving employment within India’s diamond processing industry.
