Cabinet approves measures to promote gem industry

Thursday, 27 November 2025 05:41 - - {{hitsCtrl.values.hits}}

Cabinet Spokesman and Minister Dr. Nalinda Jayatissa

The Cabinet of Ministers on Monday approved paving the way for a series of regulatory measures aimed at promoting the gem industry in Sri Lanka.

The approval enables the implementation of orders and regulations published in recent extraordinary gazette notifications that are designed to facilitate the import and taxation of genuine and semi-genuine gemstones. Among these measures is an order under Section 6 of the Value Added Tax Act No. 14 of 2002, published in Extraordinary Gazette No. 2461/43 on 7 November 2025, which allows the value added tax to be calculated based on the weight of imported gemstones.

In addition, the Cabinet sanctioned Revenue Security Order No. 04/2025, issued under the Revenue Security Act No. 19 of 1962 and published in Extraordinary Gazette No. 2461/40 on 7 November 2025. This order introduces new national sub-division customs codes for genuine and semi-genuine gemstones, enabling the application of VAT on the basis of weight.

Further, an order under Section 3 of the Ports and Airport Development Tax Act No. 18 of 2011, published in Extraordinary Gazette No. 2461/44 on 7 November 2025, allows the continuation of the new customs codes in relation to exemptions from ports and airport development taxes.

Cabinet Spokesman and Minister Dr. Nalinda Jayatissa said these measures are expected to streamline gemstone imports, simplify taxation, and provide a boost to the gem industry, reinforcing the country’s position as a key player in the global gem market.

The proposal to this effect was presented by President Anura Kumara Dissanayake in his capacity as Finance, Plan Implementation and Economic Development Minister.