ISLAMABAD: An inter-ministerial meeting, chaired by Special Secretary Commerce Syed Hamid Ali, has reportedly agreed to revise the per-gram value of plain gold jewellery, plain gold chains, and studded gold jewellery, well-informed sources told Business Recorder.
On behalf of the gold jewellery export sector, leading exporter Arif Patel had submitted a petition on November 27, 2025, to the Chairman of the National Assembly Standing Committee on Commerce, highlighting the issue of irrational value addition norms. Although the petition was discussed in four consecutive meetings, no decision could be reached.
In the latest meeting held on February 23, 2026, the Committee Chairman directed the Ministry of Commerce and the State Bank of Pakistan (SBP) to hold consultations with Arif Patel, finalise the long-pending issue, and submit a comprehensive report with an amicable solution before the next meeting.
READ MORE: Gold jewellery export value-addition: NA panel asks MoC to talk to SBP to resolve issue
Pursuant to these directions, a meeting was held on March 16, 2026, under the chairmanship of the Special Secretary Commerce. It was attended by representatives of the Federal Board of Revenue (FBR), Ministry of Industries and Production, SBP, Ministry of Commerce, and the jewellery association. Since Arif Patel had submitted the petition to the Committee, he was invited to present his case first. The chair asked him to explain the core issue, noting that the other concerns related to SRO 760 were already well understood.
Patel stated that although SRO 760 was the “mother of all problems,” he was currently focusing on the specific issue of irrational value addition norms, which, he said, were severely hurting exporters and rendering the business unsustainable.
He argued that Pakistan’s jewellery exports, currently hovering around USD 30–40 million, were negligible compared to India’s exports of around USD 40 billion, primarily due to flawed domestic policies. Despite repeated efforts by the sector to seek amendments to SRO 760, no progress had been made, prompting the Association to approach the parliamentary committee.
Patel pointed out that SRO 760 prescribes value addition norms of 4 percent, 6 percent, and 13 percent— linked to international gold prices— for exporting plain and studded jewellery, instead of fixing making charges on a per-gram basis, which is the internationally accepted practice.
He noted that when SRO 760 was issued in 2013, the gold prices stood at around USD44 per gram, whereas they have now surged to approximately USD 165 per gram—an increase of about 400 percent. This sharp rise, combined with percentage-based value addition requirements, has made it extremely difficult for exporters to remain competitive.
To support his argument, Patel informed the participants that he had already submitted three recent export invoices to the Committee Chairman, showing that international buyers were offering a maximum of USD5 per gram. However, under the existing SRO, exporters are required to remit around USD20 per gram based on prescribed percentages.
He emphasised that it is practically impossible for exporters to arrange the additional USD15 per gram beyond their actual receipts. While adopting Indian benchmarks was suggested, it was argued that India’s policy environment is not comparable, as its exporters enjoy significantly greater facilitation.
After detailed deliberations, all participants, including SBP representatives, agreed that the concerns raised by the sector were valid. It was; therefore, proposed that value addition norms be revised and fixed on a per-gram basis as follows: (i) plain gold jewellery at USD 2 per gram; (ii) plain gold chains at USD 3 per gram; and (iii) studded gold jewellery at USD5 per gram.
Copyright Business Recorder, 2026
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