India To Abolish 5 Percent Duty On Rough Diamonds

The Indian government has announced its intention to eliminate a 5 percent tax on rough diamonds. The move comes as part of a plan to remove export restrictions and reduce bureaucracy so as to increase the country's share of global trade.

The move was announced by the Indian Commerce Minister, Murasoli Maran, who said that the five-year plan would offer greater freedom for Indian importers. Once implemented, only a few selected items would remain subject to restrictions and would continue to be exported through state-owned enterprises.

Explaining the decision to abolish the import duty on rough diamonds, Maran said it should put the country on the road to becoming "a major international center." Maran also pointed out that the measures were in line with World Trade Organization requirements that India liberalize its markets.