What is the import duty on cut and polished diamonds from the UAE to India?

The standard MFN basic customs duty is 10%; under India–UAE CEPA the preferential rate is 0%. SWS adds 10% on the basic duty and 1.5% IGST applies on the CIF + BCD + SWS base.

How much can CEPA save on cut and polished diamonds?

On a CIF value of ₹10,00,000, total duty falls from ₹1,26,650 (MFN) to ₹15,000 (CEPA) — about ₹1,11,650 saved per shipment, scaling with consignment value.

What do I need to claim the CEPA rate on cut and polished diamonds?

A valid preferential Certificate of Origin (eCoO 2.0) proving UAE origin under the Rules of Origin. Without it, customs charges the 10% MFN rate.

Import duty on Cut and polished diamonds (HS 71023900) from the UAE to India

HS 71023900 · UAE to India · Gems & jewellery

Data last updated: 13 June 2026 · MFN & IGST from ICEGATE; CEPA rate per agreement — verify before filing

Duty breakdown on a ₹10,00,000 shipment

Component	Standard (MFN)	CEPA
Basic customs duty	₹1,00,000	₹0
Social Welfare Surcharge	₹10,000	₹0
IGST	₹16,650	₹15,000
Total duty	₹1,26,650	₹15,000

CEPA duty saving on this example: ₹1,11,650 . Run your own numbers in the import-duty estimator.

What drives the rate

Importing cut and polished diamonds (HS 71023900) from the UAE to India attracts a standard MFN basic customs duty of 10%. Under the India–UAE CEPA the preferential basic customs duty is 0%. On a sample assessable value of ₹10,00,000, total duty falls from ₹1,26,650 at the MFN rate to ₹15,000 with CEPA — a saving of ₹1,11,650 per shipment. Diamonds carry an unusually low origin bar under CEPA: the Product Specific Rule for HS 7102 is a tariff-subheading change plus just 6% value addition, reflecting how much rough is imported, cut, and re-exported. The 10% MFN duty goes to zero under CEPA, but with the low 1.5% IGST the origin test, not the rate, is the real consideration. MFN and IGST are from ICEGATE; the CEPA preferential rate follows the agreement — verify before filing. Social Welfare Surcharge adds 10% on the basic duty and 1.5% IGST applies on top — though IGST is recoverable as input tax credit, so the lasting benefit is the basic-duty saving. Always confirm the live rate for HS 71023900 on ICEGATE or CBIC before filing.

Frequently asked questions

What is the import duty on cut and polished diamonds from the UAE to India?: The standard MFN basic customs duty is 10%; under India–UAE CEPA the preferential rate is 0%. SWS adds 10% on the basic duty and 1.5% IGST applies on the CIF + BCD + SWS base.
How much can CEPA save on cut and polished diamonds?: On a CIF value of ₹10,00,000, total duty falls from ₹1,26,650 (MFN) to ₹15,000 (CEPA) — about ₹1,11,650 saved per shipment, scaling with consignment value.
What do I need to claim the CEPA rate on cut and polished diamonds?: A valid preferential Certificate of Origin (eCoO 2.0) proving UAE origin under the Rules of Origin. Without it, customs charges the 10% MFN rate.