Mumbai: The Group of Seven (G7) nations have postponed the enforcement of stringent traceability requirements for polished diamond imports, moving the deadline from March 2025 to January 1, 2026. This delay provides significant relief to India’s diamond cutting and polishing industry, which faced challenges in complying with the new regulations within the original timeframe.

The G7 countries—comprising the US, UK, France, Germany, Canada, Japan, and Italy—had previously announced plans to ban all imports of rough diamonds from Russia, necessitating a robust traceability system to certify the origin of polished diamonds. India, being a major player in the global diamond industry, was concerned about the complexities and costs associated with implementing such a system promptly.

The European Union (EU) has also deferred its comprehensive traceability requirements for diamond imports to January 1, 2026, aligning with the G7’s revised timeline. This extension reflects ongoing efforts to address practical challenges in establishing a robust system and ensures that diamond companies have adequate time to prepare for its implementation.

Industry representatives, such as the Antwerp World Diamond Centre (AWDC), have welcomed this postponement. They emphasize the need for a level playing field among G7 partners to prevent disproportionate disadvantages for certain sectors, particularly in major consumer markets like the US.

In the interim, the EU has introduced measures to enhance transparency in the diamond trade. Starting March 1, Kimberley Process certificates for rough diamonds of mixed origin must list all countries of origin, replacing the previous “mixed origin” designation. This aims to improve governance and traceability within the sector.

This postponement allows the Indian diamond industry additional time to adapt to upcoming regulations, ensuring better preparedness for future compliance requirements.