Does cut and polished diamonds qualify for India–UAE CEPA?

Yes, if it meets the Annex 3B Product-Specific Rule "7102 (diamonds): CTSH + VA 6% (FOB basis)": 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 cut and polished diamonds?

Per CEPA Annex 3B: 7102 (diamonds): CTSH + VA 6% (FOB basis). 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.

Cut and polished diamonds (HS 71023900) under India–UAE CEPA

HS 71023900 · Gems & jewellery · Rules of Origin & preferential rate

Data last updated: 14 June 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
MFN → CEPA basic duty: 10% → 5%

Rule of Origin (CEPA Annex 3B, primary source): 7102 (diamonds): CTSH + VA 6% (FOB basis)

Qualifying under the Rules of Origin

To claim the CEPA preference on cut and polished diamonds (HS 71023900), the goods must qualify as UAE-originating: the Product-Specific Rule (Annex 3B) is "7102 (diamonds): CTSH + VA 6% (FOB basis)": the goods must undergo a change of tariff sub-heading (CTSH) AND add at least 6% regional value content — both conditions, not either/or. Cut and polished diamonds are mid-phase, not duty-free. India scheduled HS 7102 as Tariff Elimination Phased: the 10% MFN duty steps down and sits at 5% in 2026 (year 5), continuing toward 0% in later years. A UAE-origin stone with a valid Certificate of Origin pays 5% BCD today. The origin rule is unusually light — a tariff-subheading change plus 6% value addition — reflecting the import-cut-re-export trade. With IGST at just 1.5%, the 5% BCD is the main cost lever. MFN and IGST are from ICEGATE; the 5% preferential is the year-5 rate from CEPA Annex 2A (Schedule of India). 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.

Frequently asked questions

Does cut and polished diamonds qualify for India–UAE CEPA?: Yes, if it meets the Annex 3B Product-Specific Rule "7102 (diamonds): CTSH + VA 6% (FOB basis)": 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 cut and polished diamonds?: Per CEPA Annex 3B: 7102 (diamonds): CTSH + VA 6% (FOB basis). 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.