Gems & Jewellery

Policy and Procedure

INTRODUCTION
SRO266(1)/2001 Exports Under

ENTRUSTMENT SCHEME LOCALLY PROCURED

Duties and Taxes

Import of gold and gemstones under all schemes shall be exempt from normal import tariffs Raw materials, tools, machinery and equipment under import of gold and gemstones against export of jewelry or import entitlement shall be allowed free of customs duties and advance income tax

Advance Tax at the rate of .75% shall be charged on export of Gold Jewelry and Gemstones along with 0.25% Export development surcharge ( deducted on Value addition not total value) Sales Tax on export of Gold Jewelry and Gemstones is zerorated Import of gold, directly by the exporter or supplied by foreign

ENTRUSTMENT SCHEME

IMPORT THAN EXPORT EXPORT WITHIN 180 DAYS FROM DATE OF IMPORT

Required documents for advance import of Gold/Silver under Entrustment Scheme Party request letter on letter head Gold Jewellery Registration Certificate Photocopy of passport Indemnity bond Contract

The sale proceeds shall be realized, within 240 days from the date of export Export and Import procedure of Gold, Gold Jewelry and Gemstones shall be appropriated either wholly in foreign exchange through normal banking channels or partly in the form of gold up to 100%weight of gold content of jewelry exported including wastage, and gemstones, and partly in foreign exchange for value addition

Export of gold jewelry shall be allowed with minimum value addition as follows 4% on plain gold bangles and chains 6% on other plain jewelry 9% on studded or embedded jewelry Description of Jewelry Percentage of Wastage will be allowed as follows Plain gold jewelry 2% of gold content of jewelry by weight

Registration Documents For First Time Exporters

Association membership All Pakistan Gem Merchants And Jewelers Association, All Pakistan Commercial Exporters Of Rough And Unpolished Precious And Semi-Precious Stones Association Registration with TDAP NTN Certificate ID card Membership certificate with chamber of commerce Recommendation letter Sales tax registration number Bank certificate Jewelry Pass Book Form c (in case of partnership) From29 ( in case of PVT limited company)

Registration with Trade Development Authority Of Pakistan(TDAP) ( Requirements for issuance of annexure E)
Exporters request letter for registration on letterhead of the proprietorship concern, partnership concern or of limited company as the case may be. Gold Jewellery Registration Certificate Photocopy of passport Invoice Form E Annexure E

Participation in Exhibitions
Accompanied baggage/ parcel post / courier service Items not sold shall be re-imported within 45 days of close of exhibition Sold items may be replenished within 60 days of closure of exhibition Personal baggage as sample

Concerns of GAPC
Export Procedure and registration Request for insurance support for gold exporters Request for Logistic support Removal of membership with association Customs Duties

Thank You