As of year 2022 Sri Lanka’s Gem and Jewellery Industry contributes to more than 5% of total foreign exchange to the country. The gem and jewellery sector of Sri Lanka expected to grow to 350,000+ people by year 2030 due to peak demand in Gemological studies all over Sri Lanka. Sri Lankan Government pursue the increasing trends in Gem and Jewellery Industry by increasing there infrastructure through Government owned National Gem and Jewellery Training Authority Of Sri Lanka.(NGJTA) The following article will explain How to export gemstones from Sri Lanka Step by Step. We mainly focusing on How to Get Gem Export License Sri Lanka.
STEP BY STEP GUIDE – HOW TO EXPORT GEMSTONES FROM SRI LANKA.
“The Sapphire Capital” Sri Lanka’s gemstones owns a great demand in International Gem Market. Especially Ceylon Sapphires are loved by gem enthusiasts and gem lovers all over the world. To export gemstones from Sri Lanka an individual should possess knowledge regarding gems, Pricing, procedures, Processes and International Market to win in the Gem Business World. The following article will explain you all step by step on How to export Gems from Sri Lanka online.
STEPS TO EXPORT GEMSTONES FROM SRI LANKA.
- DISCOVERING BUYERS
- OBTAIN GEM DEALER LICENSE
- OBTAIN TIN AND VAT
- REGISTER AS AN EXPORTER IN SRI LANKA CUSTOMS
- PREPARE DOCUMENTS FOR EXPORT
- PREPARE CUSDEC DECLARATION
- APPLYING FOR EXPORT ONLINE
- BRING THE GEMS TO NGJA
- APPRAISING GEMS BY NGJA APPRAISER
- GEMS WILL BE CHECKED BY CUSTOMS OFFICERS
- HAND OVER THE GEMS TO COURIER OR POSTAL SERVICE
STEP-1 DISCOVERING BUYERS
To export gemstones initially you need to find a trusted buyer. For this a Gem dealer should try different types of Social media and websites to promote and discover thousands of trusted buyers (Ex. Tiktok, Facebook, Etc.) or Visit an International Gem Market or Gem Exhibition, there you will find many buyers for Sri Lankan Gemstones.
STEP-2 OBTAIN GEM DEALER LICENSE
To Export gemstones from Sri Lanka an exporter should have a Gem Dealer License worth not less than LKR.500,000/-. We have crystal clearly explained how to get a gem dealer license in Sri Lanka. Click here
STEP-3 OBTAIN TIN AND VAT
In Sri Lanka to function as a Import and export business it is compulsory to have a Tax Identification Number (TIN) & Value Added Tax (VAT). To apply for VAT you should definitely have a TIN. Obtaining a TIN is easy task.
TAX IDENTIFICATION NUMBER (TIN)
Tax identification number (TIN) can be obtain from Inland Revenue Department of Sri Lanka (IRD). Any Sri Lankan resident can apply for TIN. Click Here to Apply for TIN Online.
VALUE ADDED TAX (VAT)
To obtain Value Added Tax (VAT) an individual should have TIN, After an Individual obtain TIN from IRD. The person should hand over Export Invoice, NIC Copies, Business Registration along with the Gem Dealer License and Tax Identification Certificate to VAT department in Inland Revenue Department of Sri Lanka. Within few hours you will be getting a Temporary VAT certificate permits only exports.
For more understanding how to register TIN and VAT in Sri Lanka Click Here
STEP-4 REGISTER AS AN EXPORTER IN SRI LANKA CUSTOMS
During the process of Exporting gemstones from Sri Lanka for the first time our team found the hardest part is registering in Sri Lanka Customs, because it requires tons of documents. Click here to Register as an exporter in Sri Lanka Customs.
Documents Required to Register in Sri Lanka Customs
- National Identity Card
- Business Registration
- TIN & VAT Certificates
- Birth Certificate
- Bank Statement
- Deed or Rental or Lease Agreement
- Grama Sewa Certificate
- Utility Bill
- Route Map to Nearest City
- Passport Size Photo
- Signature Scanned
- Google Street View Front of Registered Office
- Confirmation Letter of Telecommunication Service Provider.
STEP-5 PREPARE DOCUMENTS FOR EXPORT
- Preparing Export Invoice
All export invoices should be prepared in company letter head. For export process an exporter should bring 8 Original export invoices. Click Here to Download Export Invoice Format by National Gem And Jewellery Authority of Sri Lanka. Following information should be mentioned in invoice prepared.
1.Exporter’s Name & Address
2.Consignee’s Name & Address
3.Consignee’s Bank Address (If necessary)
4.Terms of Payments
5.Exchange rate prevalent on the date of export
6.Passport Number of carrier
7.Date of Shipmen
8.Date of Departure
Did You Know : When Preparing Export Invoice You should get the USD ($) Exchange rate from the Sri Lanka Customs Website. Click here to get the Exchange Rates
- Obtain Insurance Covering Shipment
An Insurance policy covering total value of export invoice should be taken from any Registered Insurance Company in Sri Lankan Insurance Board. This can be done in easily by Sri Lanka Insurance branch located inside National Gem and Jewellery Authority (NGJA) head office located in Colombo. Exporter should bring 3 copies of Insurance policy to NGJA.
STEP-6 PREPARE CUSDEC DECLARATION
Customs Declarations Message (CUSDEC) should be prepared declaring all values of gemstones. CUSDEC can only be prepared by Registered Customs Clearing House Agents or Wharf Clerk. This Cost around LKR.5000/- Minimum, plus will increase according the value of gemstones to be exported. There are many registered custom clearing house agents (Wharfs) inside National Gem And Jewellery Authority (NGJA) head office Colombo to make the process easier to exporters. To prepare CUSDEC the exporter should handover a copy of export Invoice, TIN Certificate, Insurance Policy and Bank Account Details.
Important: Before preparing CUSDEC the exporter should choice a Courier service like Sri Lankan Post Registered Airmail, Sri Lankan Post EMS or FedEx and book an Airway bill. After that International Courier service provide the exporter a tracking number which required to prepare CUSDEC.
STEP-7 APPLY FOR EXPORT ONLINE
Soon after preparing all documents mentioned above the exporter can submit the details of export consignment to National Gem And Jewellery Authority Of Sri Lanka (NGJA) online.
Click the above link then Fill the details and upload the documents requested.
Did You Know : To export gemstones from Sri Lanka the exporter should have a Gem Dealer License & The exporter can only export gemstones to the Value of Gem Dealer License issued by NGJA.
STEP-8 BRING THE GEMS TO NGJA
After submitting the Information to NGJA. The exporter should visit National Gem And Jewellery Authority (NGJA) date mentioned in Export invoice as Export Date. When visiting NGJA the exporter should bring following documents along with the gemstones to be exported.
- 8 Copies of Original Export Invoice
- 3 Copies of Gem Dealer License
- 4 Copies of Insurance Policy (Receipt)
- 6 Copies of CUSDEC (Custom Declaration)
- 2 Copies of TIN & VAT Certificates
- If Available Gemstone Certificates
- TIN Box or Bubble Envelops
National Gem And Jewellery Authority (NGJA) Branches To Export Gemstones
- National Gem And Jewellery Authority Head Office, Colombo-03
- National Gem And Jewellery Authority Gem Export Center, Katunayake
- NGJA Gem Export Center, Rathnapura
STEP-9 APPRAISING GEMS BY NGJA APPRAISER
Once the exporter reach the NGJA the Gem appraiser of National Gem and Jewellery Authority will check the documents and send the gemstones to the NGJA Lab to value and authenticate the gemstones. This is done to prevent under valuing of gems and secure International buyers from scams who cheat with synthetic gemstones.
The Gemologist of National Gem And Jewellery Authority check the gems and write note regarding value and authenticity of gemstones in one Export invoice. Soon after that the Assistant Director of Exports NGJA will appraise the gems and prepare an invoice based on the notes given by Gemologist of NGJA. Then the exporter fees and charges apply for the exports to NGJA cashier and submit the receipt to further process. Here you will be getting Gem Export License Sri Lanka. Soon after paying the fees to NGJA the docs and gems will be released to Sri Lanka Customs, Gem Unit to proceed the export.
2022 Export Service Fee
Bellow USD 200 Gems Rs.1000
USD 201 to 1000 Gems Rs.1000
USD 1001 to 3000 Gems Rs.3000
Above USD 3000 Gems Rs.2000 + FOB * 0.25%
Above USD 3000 Gems Rs.2000 + FOB * 0.25%
STEP-10 GEMS WILL BE CHECKED BY CUSTOMS OFFICERS
Once again the gemstones will be checked by Sri Lanka Customs officers who specialized in gemology and securely seal the gemstones in a Tin box or Bubble envelop. The gemstones container will be sealed using sealing wax & cannot be open.
Soon after sealing the container by Sri Lankan Customs. The custom officer in charge to gem unit will examine the documents and warrant the Gemstone container.
STEP-11 HAND OVER THE GEMS TO COURIER OR POSTAL SERVICES
The wax sealed gemstone container will be detained by Sri Lanka customs and release to proceed the export through courier service or hand carriage. The customs officer will release the gemstone container to exporter. Immediately the exporter should bring the container to shipping or courier services available in National Gem And Jewellery Authority Sri Lanka. (Sri Lankan Post, FedEx) The agent in shipping service or courier service will weigh the gemstone container and generate a invoice. The exporter need to pay the invoice value and handover the parcel and documents (Certified by Customs) to courier service. That’s it the export procedure ends here. The buyer will receive the gemstone as soon as possible informed by shipping service.
Finding international buyers and exporting gemstones is an Art. Not every gem dealer cannot excel but anything is possible if you determine & dedicate to yourself to do it. We have crystal clearly explained how to export gemstones from Sri Lanka (Online). Sri Lankan gemstones have a huge demand in International Market.
- Always Explain every detail about gemstone
- Send clear Images and Videos
- Never use Camera filters when capturing gemstones
- Understand the Buyer’s requirements
- Offer Good Price
- Deliver Gems Promptly
- Make Buyer happy always
- Never Scam Anyone
Follow these hints for success in International Gem Market. Most of the services for the Export of gemstones are available in National Gem And Jewellery Authority (NGJA) like Insurance Service, Courier Service and CUSDEC preparation service.
Winning the first order and preparing the first shipment will be bit challenging due to new experiences. Try to do everything on your own here you will get an impeccable life experience, gradually you will become an expert in the trade. We have crystal clearly explained how to export gemstones from Sri Lanka in the above article. The above article “How to Export Gemstones From Sri Lanka” is developed from our own export experience.
Always export gemstones in legitimate process and bring Foreign currency inside Sri Lanka which helps Sri Lanka’s Economic Growth as a whole.