Does industrial diamonds, unworked or simply sawn — unsorted qualify for India–UAE CEPA?

Yes, if it meets the Annex 3B Product-Specific Rule "CTSH + VA 6% (CEPA Annex 3B Product-Specific Rule; tariff-shift AND value addition both required).": it must BOTH change tariff classification (CTSH) AND add at least 6% regional value content — both conditions are required, not either/or.

What proof is needed at import?

A preferential Certificate of Origin filed through eCoO 2.0, presented at customs before clearance. Without it, the 10% MFN duty applies.

Rules of Origin for industrial diamonds, unworked or simply sawn — unsorted — Dubai (UAE) to India

HS 71022120 · DIAMONDS · Rules of Origin & preferential rate

Data last updated: 30 July 2026 · MFN duty & IGST verified against ICEGATE (Indian Customs EDI). Rules of Origin per CEPA Annex 3B. Verify your exact HS line before filing.

CEPA eligible: Yes
Value addition (RVC): 6%
Tariff-classification change: CTSH Annex 3B rule set at heading level
MFN → CEPA basic duty: 10% → 0%

Rule of Origin (CEPA Annex 3B, primary source): CTSH + VA 6% (CEPA Annex 3B Product-Specific Rule; tariff-shift AND value addition both required).

Qualifying under the Rules of Origin

To claim the CEPA preference on industrial diamonds, unworked or simply sawn — unsorted (HS 71022120), the goods must qualify as UAE-originating. The Product-Specific Rule (Annex 3B) is "CTSH + VA 6% (CEPA Annex 3B Product-Specific Rule; tariff-shift AND value addition both required)": the goods must undergo a change of tariff sub-heading (CTSH) AND add at least 6% regional value content — both conditions, not either/or. Annex 3B sets that rule at heading level, so it was written for this heading rather than for the chapter as a whole, but it still covers every sub-heading beneath it. Unsorted industrial diamonds arrive as mixed parcels that the buyer grades after import, which is why they price below sorted lots and appeal to bulk abrasive and drilling-tool makers. CEPA removes the basic duty entirely, and the low IGST band on diamonds keeps the recoverable tax small. Qualification is unusually easy: Annex 3B sets value addition at 6% on this line, against the 40% applying across most of the corpus, so the origin test is close to a formality where the sub-heading change is met. The real exposure is valuation rather than origin — customs scrutinises unsorted parcels closely because under-invoicing is the standing dispute in this trade, and a parcel priced as a bulk average invites a query. Carry a defensible per-carat basis, the Kimberley Process certificate and the Certificate of Origin together, since the three are read as one file. A valid Certificate of Origin filed through the eCoO 2.0 system must accompany the shipment; without it, customs charges the 10% MFN rate instead of the preference.

Check your own figures in the Rules of Origin (RVC) qualifier. Qualifying is only half of it — the preference is claimed with a Certificate of Origin, issued in the UAE before shipment or retrospectively within 12 months.

Frequently asked questions

Does industrial diamonds, unworked or simply sawn — unsorted qualify for India–UAE CEPA?: Yes, if it meets the Annex 3B Product-Specific Rule "CTSH + VA 6% (CEPA Annex 3B Product-Specific Rule; tariff-shift AND value addition both required).": it must BOTH change tariff classification (CTSH) AND add at least 6% regional value content — both conditions are required, not either/or.
What is the Rule of Origin for industrial diamonds, unworked or simply sawn — unsorted?: Per CEPA Annex 3B: CTSH + VA 6% (CEPA Annex 3B Product-Specific Rule; tariff-shift AND value addition both required).. RVC% = [(FOB − value of non-originating materials) / FOB] × 100 (FOB basis).
What proof is needed at import?: A preferential Certificate of Origin filed through eCoO 2.0, presented at customs before clearance. Without it, the 10% MFN duty applies.