Mumbai: The Gem & Jewellery Export Promotion Council (GJEPC) in association with the Bharat Diamond Bourse (BDB) organised a seminar at the BDB in Mumbai on Friday, May 24, 2019. The seminar was focused on highlighting the opportunities for entrepreneurs falling under the Micro, Small and Medium Enterprises (MSME) category within the gems and jewellery (g&j) industry to grow and providing information about the different schemes and subsidies available.
Experts associated with MSME sector including Rajiv Chawla of Integrated Association of Micro, Small and Medium Enterprises (IAMSME) and Ajit Shah of Universal Connections addressed the seminar along with members of the gem and jewellery trade. Others dignitaries present on the occasion included Manish Jivani, Convener MSME, GJEPC, Ashok Gajera, Western Regional Chairman, GJEPC, Mehul Shah, Vice-President, BDB and Mahesh Vaghani, Committee member, BDB.
The seminar was part of an ongoing programme being conducted by GJEPC to promote the g&j MSME sector by imparting information and knowledge, and thus enabling those working within it, to strengthen and develop their businesses further. As part of this programme, GJEPC has been regularly organising seminars, workshops and camps across the country. Over 200 members of GJEPC – BDB attended the Mumbai meeting.
After a brief introduction to the seminar and steps being taken by GJEPC to boost the sector, such as Swasth Kosh, Parichay Card, Call centre, Mobile app, and taking various services online, Manish Jivani told the gathering that a camp for issuing Parichay cards will shortly be conducted in Mumbai. He also touched upon the issue of achieving status as Authorised Economic Operator (AEO) and urged the members to take advantage of the benefits available.
In his presentation, Rajiv Chawla explained how new technologies and business systems were providing small entrepreneurs the opportunity to turn into powerful agents of change if they adapted a collaborative approach and were willing to face the challenges and scale up their operations.
He said that the central government, and most state governments too, were providing facilities and other incentives to companies in the sector, and added that the organisation that he was representing, IAMSME provided various MSME schemes and support programmes in manufacturing, design, marketing, financial literary and many more areas.
Ajit Shah stressed the importance of compliance in the export-import trade and explained the basic concept of EDPMS (Export Data Processing and Monitoring System) set up by the government. He pointed out that this electronic system had now replaced the earlier manual system to help RBI monitor foreign exchange earnings and it was now necessary for an exporter to realize forex within nine months of the date of export.
As per the guidelines issued by RBI, if there is any entry which remain open in EDPMS beyond a period of two years, then the concerned exporter will automatically be put on a Caution List and thereafter can export only against Advance Payment or LC.
There was a similar IDPMS system for monitoring of imports, he said.
Shah also spoke at length about SVB or Special Valuation Branch when imports are through a related party supplier. In such cases, importer has to give a declaration about the supplier and the valuation of imports is more closely examined. He then gave details of the SVB offices and the nature of documentation required in such cases, and advised that provisional Additional Duty Deposit will be applicable.
Shah also explained the concept of an Authorised Economic Operator (AEO), a globally accepted system being promoted by the Indian Customs. He said that exporter/importer companies can achieve this recognition/ status only when they follow a certain system of operations with strong documentation, rigid security, efficient records, etc. Companies can achieve any of the three levels of recognition as AEO viz. T1-T2-T3 based on the above.
Mithilesh Pandey, Director, Head Membership, GJEPC, spoke about GJEPC’s Parichay Card, health insurance schemes, and benefits of becoming members of GJEPC; and benefits available to the MSME sector and Udyog Aadhar registration; and how to avail of them and whom to approach for the same.
He said the Parichay Card is issued to karigars and non-members to map their skills. This would enable the GJEPC to create a database which would be useful for the jewellers and karigars as and when employment opportunities arose, which could be matched to the skills of karigars on the database.
Pandey also spoke about the benefits of the Cluster Development scheme, Lean Manufacturing Competitiveness Scheme, Common Facility Centres, Technology Upgradation Scheme for Machinery under which exporters can receive a loan of up to Rs. 1 crore with a subsidy of 15%.
He explained the various projects of the GJEPC and benefits accruing to g&j MSMEs for each of them.