1. Subjects to Note 1 (a) to Section VI and except as provided below, all articles consisting wholly or partly:
(a) Of natural or cultured pearls or of precious of semi-precious stones (natural, synthetic of reconstructed), or
(b) Of Precious metal or of metal clad with precious metal, are to be classified in this Chapter.
2. (a) Headings 7113, 7114 and 7115 do not cover articles in which precious metal or metal clad with precious metal is present as minor constituents only, such as minor fittings or minor ornamentation (for example, monograms, ferrules and rims ) and paragraph (b) of the foregoing Note does not apply to such articles.
(b) Heading 7116 does not cover articles containing precious metal or metal clad with precious metal (other than as minor constituents)
3. This Chapter does not cover:
(a) Amalgams of precious metal, or colloidal precious metal (heading 2843);
(b) Sterile surgical suture materials, dental fillings or other goods of Chapter 30;
(c) Goods of Chapter 32 (for example, luster’s);
(d) Supported catalysts (heading 3815;
(e) Articles of heading 4202 or 4203 referred to in Note 2 (B) to Chapter 42;
(f) Articles of heading 4303 or 4304;
(g) Goods of Section XI (textiles and textile articles);
(h) Footwear, headgear or other articles of Chapter 64 or 65
(ij) Umbrellas, walking sticks or other articles of Chapter 66;
(k) Abrasive goods of heading 6804 or 6805 or Chapter 82, containing dust or powder of precious or semi-precious stones (natural or synthetic): articles of Chapter 82 with a working part of precious or semi-precious stones (natural, synthetic or reconstructed); machinery, mechanical appliances or electrical goods, or parts thereof, of Section XVI. However, articles and parts thereof, wholly of precious or semi-precious stones (natural, synthetic or reconstructed) remain classified in this Chapter, except unmounted worded sapphires and diamonds for styli (heading 8522);
(l) Articles of Chapter 90, 91 or 92 (Scientific instruments, clocks and watches, musical instruments);
(m) Arms or parts thereof (Chapter 93);
(n) Articles Covered by Note 2 to Chapter 95;
(o) Articles classified in Chapter 96 by virtue of Note 4 to that Chapter; or
(p) Original sculptures or statutory (heading 9703), collectors’ pieces (heading 9705) or antiques of an age exceeding one hundred years (heading 9706), other than natural or cultured pearls or precious or semi-precious stones.
4. (a) The expression “precious metal” means silver, gold and platinum
(b) The expression “platinum” means platinum, iridium, osmium, palladium, rhodium and ruthenium.
(c) The expression “precious or semi-precious stones” does not include any of the substances specified in Note 2 (b) to Chapter 96.
5. For the purpose of this Chapter, any alloy (including a sintered mixture and an inter-metallic compound) containing precious metal is to be treated as an alloy of precious metal if any one precious metal is to be treated as an alloy of precious metal if any one precious metal constituents as much as 2% by weight, of the alloy. Alloys of precious metal are to be classified according to the following rules:
(a) An alloy containing 2% or more, by weight, of platinum is to be treated as an alloy of platinum;
(b) An alloy containing 2% or more, by weight, of gold but no platinum, or less than 2% by weight, of platinum, is to be treated as an alloy of gold;
(c) Other alloys containing 2% or more, by weight, of silver are to be treated as alloys of silver.
6. Except where the context otherwise requires, any reference in this Schedule to precious metal or to any particular precious metal includes a reference to alloys treated as alloys of precious metal or of the particular metal in accordance with the rules in Note 5 above, but not to metal clad with precious metal or to base metal or non-metals plated with precious metal.
7. Throughout this Schedule the expression”metal clad with precious metal” means material made with a base of metal upon one or more surfaces of which there is affixed by soldering, brazing, welding, hot-rolling or similar mechanical means a covering of precious metal. Except where the context otherwise requires, the expression also covers base metal inlaid with precious metal.
8. Subject to Note 1 (a) to Section VI, goods answering to a description in heading 7112 are to be classified in that heading and in no other heading of this Schedule.
9. For the purpose of heading 7113, the expression “ articles of jewellery” means:
(a) Any small objects of personal adornment (gem-set or not) (for example, rings, bracelets, necklaces, broaches, ear-ring, watch-chains, fobs, pendants, tie-pins, cuff-links, dress-studs, religious or other medals and insignia); and
(b) Articles of personal use of kind normally carried in the pocket, in the handbag or on the person (such as cigarette cases, powder boxes, chain purses, catechu; boxes)
10. For the purpose of heading 7114, the expression “articles of goldsmiths’ or silversmiths’ wares” includes such articles as ornaments, table-ware, toilet-ware, smokers’ requisites and other articles of household, office or religious use.
11. For the purposes of heading 7117, the expression “imitation jewellery” means articles of jewellery within the meaning of paragraph (a) of Note 9 above (but not including buttons or other articles of heading 96. 06, or dress-combs, hair-sliders or the like, or hairpins, of heading 9615), not incorporating natural or cultured pearls, precious or semi-precious stones (natural, synthetic or reconstructed) nor (except as plating or as minor constituents) precious metal or metal clad with precious metal.
Other Notes : Year 2010
a. Basic Customs Duty - Refrence in this chapter by 21/01.03.2002 and 21/01.03.2007.
b. Additiona duty in this chapter by heading 71.01 of Central Excise Tariff and serial number CE-05/01.03.2006, full exemption available to the following items. Please see Additional Duty (CVD ) Note.
c. Education Cess : EC of
2% +1% on the aggregate of excise and customs duties under Section 91(1) of Finance Act 2004 applicable on all goods in this chapter.
Other Notes : Year 2009
a. Basic Customs Duty - Refrence in this chapter by 21/01.03.2002 and 21/01.03.2007.
b. Additiona duty in this chapter by heading 71.01 of Central Excise Tariff and serial number CE-05/01.03.2006, full exemption available to the following items. Please see Additional Duty (CVD ) Note.
c. Education Cess : EC of 2% +1% on the aggregate of excise and customs duties under Section 91(1) of Finance Act 2004 applicable on all goods in this chapter.
Other Notes : Year 2008
a. Basic Customs Duty - Refrence in this chapter by 21/01.03.2002 and 21/01.03.2007.
b. Additiona duty in this chapter by heading 71.01 of Central Excise Tariff and serial number CE-05/01.03.2006, full exemption available to the following items.
c. Education Cess : EC of 2% +1% on the aggregate of excise and customs duties under Section 91(1) of Finance Act 2004 applicable on all goods in this chapter.
Other Notes : Year 2007
a. Basic Customs Duty - Refrence in this chapter by 21/01.03.2002 and 21/01.03.2007.
b. Additiona duty in this chapter by heading 71.01 of Central Excise Tariff and serial number CE-05/01.03.2006, full exemption available to the following items.
c. Education Cess : EC of 2% +1% on the aggregate of excise and customs duties under Section 91(1) of Finance Act 2004 applicable on all goods in this chapter.
Other Notes : Year 2006
a. Basic customs duty in this chapter by s.No. 337 of 13/01.03.2006.
a. Effective duty in chapter 71
Ref. : Notification 21 /01.03.2002 Gem and other Precious stones.
180 71 The following goods namely : -
(i) Raw pearls, other than cultured pearls; 5% Nil -
(ii) Rubies, emeralds and sapphires, unset and imported uncut; Nil Nil --
180B 71 Rough coloured gemstones Nil
182 71 Raw cultured pearls (including admixtures of pearls containing raw real pearls and culture pearls) 5% - -
183 71 Rough Semi-precious stones.
184 71 Cut and polished coloured gemstones 5%
186 71 Foreign currency coins when imported into India by a Schedule Bank Nil Nil 24
187 71.02 Non-industrial diamonds (other than rough dimonds) 5% --- ---
189 711011 or Platinum Rs. 200 per -- --
711019 00 10 gram
422 71 Semi-processed, half -
cut or broken diamonds Nil
Additiona duty in this chapter by heading 71.01 of Central Excise Tariff and serial number CE-05/01.03.2006, full exemption available to the following items.
Education Cess : EC of 2% on the aggregate of excise and customs duties under Section 91(1) of Finance Act 2004 applicable on all goods in this chapter.
Brief description duty Reference
(a) Diamonds cut Nil 7101.10 of central Excise Tariff or ploished or both subheading
(b) Piezo electric quartze Nil 7101.20 of Central Excise Tariff subheading
( c) silver Nil 7101.31 of Central Excise Tariff Schedule
(d) Strips, wires, sheets, plates and foils of silver Nil 7101.60 of Central Excise Tariff subheading
(e) Goods of precious metals Nil Sl no. 24 of CE-05/01.03.2006
(f) Ornaments of precious Nil Sl No. 24 of CE-05/01.03.2006
(g) Precious metals in primary forms Nil CE-05/01.03.2006
(h) Articles of jewellery in 2% Sl. No. 26 of 04- heading 7113 on which CE/01.03.2005 brand name and trade name is indelibly affixed or embossed on
the articles of jwellery itself metals
(i) Goods in 7117 5% Sl. No. 27 of 04-CE/01.03.2005.
(i) Others in Chapter 16% Central Excise Tariff Schedule 71 not covered by above
Special CVD under Section 3(5) of CTA 1975
Notification 20 Spl CVD on jwellery 1% ad valorem 01.03.2006 Aricles of jwellery falling in Sl. 61(j) 7113
Notification 20 Spl CVD on all goods other than Nil
01.03.2006 jwellery all goods other Sl. No. 9 than Articles of Jwellery falling in 71(except 7113)]