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ORDER OF THE GOVERNMENT OF THE REPUBLIC OF TAJIKISTAN

of April 29, 2009 No. 255

About approval of the Development program of jewelry industry, conversion of precious and ornamental stones for 2009-2015

According to articles 7 of the Law of the Republic of Tajikistan "About the state prospects, concepts and programs of social and economic development of the Republic of Tajikistan" the Government of the Republic of Tajikistan decides:

1. Approve the enclosed Development program of jewelry industry, conversion of precious and ornamental stones for 2009-2015.

2. To the Ministry of economic development and trade of the Republic of Tajikistan, the Ministry of Finance of the Republic of Tajikistan and the Ministry of Energy and Industry of the Republic of Tajikistan when forming the forecast of social and economic development of the Republic of Tajikistan till 2015 to provide allocations of financial resources for the exploration works necessary for implementation of this Program.

3. Recommend to all banks of the Republic of Tajikistan to take equity in accomplishment of the Development program of jewelry industry, conversion of precious and ornamental stones for 2009-2015, by involvement of internal and external investors, and also own means.

4. Annually no later than January 1 to provide to the Ministry of Energy and Industry of the Republic of Tajikistan in the Governments of the Republic of Tajikistan information on the course of accomplishment of the specified Program.

 

Prime Minister

Republic of Tajikistan Emomalii Rahmon

Approved by the Order of the Government of the Republic of Tajikistan of April 29, 2009 No. 255

The development program of jewelry industry, conversion of precious and ornamental stones for 2009-2015

Preface

One of the most important purposes of policy of the state is ensuring deserved social protection of the needing segments of the population, improvement of quality and level of living of the people.

The jewelry industry as new industry in economy of the state, after 1992 partially stood idle and since 1998 began to develop. The companies which were earlier issuing bijouterie products from non-ferrous metals completely started product output from precious metals.

In recent years in the industry with participation of internal and external investors the modern companies which allow release of wide range of competitive goods are effective.

Now in the State assay supervision under the Ministry of Finance of the Republic of Tajikistan more than 137 business owners and the jewelry companies occupied with release of jewelry are registered. It should be noted that such small enterprises numbering from 10 to 200 people will be able to organize release of competitive goods.

Industries of conversion of gemstones and release of jewelry for the republic are considered priority as investments of private companies and insignificant budgetary funds invest in them.

The observance and development of long-term traditions of jewelry art which appeared in different regions of Tajikistan - the Gorno-Badakhshan Autonomous Region, Khatlon, Sughd areas, will allow to increase tax payments in the state and local budgets due to release and realization of jewelry and other products from precious metals.

2. Main objectives and tasks of the Program

One of the largest sources of currency in the State fund of precious metals and gemstones is use of unique gemstones, precious metals and release of end products, that is jewelry.

The development program of jewelry industry, conversion of precious and ornamental stones for 2009-2015 (dalee-Programma) covers the entire periods - from researches of emergence of minerals and exploration works before finished product output and its realization.

Main objective of the Program is providing (development of industry) and provision of necessary conditions for broad application of fields of gemstones and precious metals as currency source in the budget of the republic, ensuring development of production and economic capacities of mountainous, foothill areas, decrease in level of poverty in the republic.

The program implementation depends on ensuring bystry development of production of gemstones and precious metals in the conditions of transition period and structural reconstruction of economy, reasons for the directions and rates of conversion of gemstones and precious metals taking into account economic, social, ecological and other interests of the state, at the same time the solution of social and economic, financial questions at the national level and the organization of the state and private sectors this, industries of economy of the state, determination of levers of the state support of industry of gemstones and precious metals.

The main objectives of the Program are the organization of works on studying of fields of gemstones and precious metals, production, conversion and release of end products and its realization in acting and again created companies.

Planned activities of the Program will allow, to provide more complete use of the operating capacities on production, conversion of gemstones and precious metals, to organize additional capacities on conversion and finished product output from gemstones and precious metals due to updating and technical reconstruction of production for the purpose of obtaining ready for sales of products from them or created on their basis.

The program implementation will create conditions for creation of additional workplaces, and it in turn for development of employment of the population, involvement of women and youth on highly skilled profitable and honourable work.

Implementation of planned activities of the Program is assigned to heads and specialists of the industry extracting, overworking and making finished goods.

In process of implementation of the separate periods of the Program, in it other government institutions interested in purchase and realization of produktion from precious and ornamental stones, precious metals will be attracted.

3. Priority directions and ways of development of industry

Main directions of the Program:

- determination of the priority directions of further use of fields taking into account raw materials sources;

- prospects of stock gain of precious metals, precious and ornamental stones;

- determination of procedure and methods of increase in production of gemstones and precious metals during the period till 2015;

- determination of the amounts of financing of exploration works of fields of precious and ornamental stones, gold silver ores.

Main ways of development of conversion of gemstones and production of jewelry:

- optimum use of precious metals and stones in jewelry and other products in the republic;

- decrease in the export direction of raw materials of precious metals and stones;

- provision of favorable conditions for stable activities of industry;

- release of domestic producers (jewelry from precious metals and stones) from payment of the excise taxes;

- direct conducting exploration works from outside SUE Chamast according to the funds allocated by the budget;

- ensuring consumer confidence to domestic jewelry under the slogan "national jewelry-the guarantor of quality of precious metals and nobility of gemstones";

- enhancement of system of the state support of small business and provision of favorable conditions for development of jewelry industry of the Republic of Tajikistan.

Achievement of the called purposes requires implementation of the following events:

- provision of favorable credit conditions for domestic manufacturers;

- establishment of duty-free importation of the technical and laboratory equipment, jewelry tools and devices for polishing of gemstones;

- establishment of import duties and excise taxes in the territory of the Republic of Tajikistan only for the jewelry imported from abroad;

- creation of artels of gold prospectors for precious metals mining and stones;

- organization of Items of buying up of precious metals and stones;

- the organization of obligatory branding of all jewelry and other products imported on the territory of the Republic of Tajikistan for realization from precious metals the State assay inspection under the Ministry of Finance of the Republic of Tajikistan;

- the state control over legality of sources of acquisition of precious metals, gemstones and products from them legal and individuals;

- control of compliance of jewelry to quality certificates;

- the state control in import and export of precious metals, gemstones and products from them;

- state control of skupochny Items of precious metals and stones;

- paramount value of training of recycling industry, marketing of the world market of gemstones;

- increase in number of gemologists in the republic.

4. Condition of the world market of gemstones

It is well-known that the market of gemstones depends on many objective and subjective factors and the favorable periods often are replaced by the periods of recessions.

The market of gemstones - rather specific market is also very far from canons of the standard free goods market. Any difficulty in functioning of the market exerts huge business impact of gemstones as it is rather narrow business.

It is necessary to consider that now the competition in the world market of gemstones passed to new round.

In recent years there was geographical redistribution of the world lapidary centers of gemstones. The countries of Southeast Asia in which the new large centers of the lapidary industry with the big prospects of growth are already created began to play noticeable role.

In 2005 jewelry, in particular with diamonds, 90 million pieces were acquired. From 1980 to 2006 the amount of world sales of jewelry with the same diamonds grew by 3 times.

World sales of jewelry will grow on 4,6 of percent a year, and will reach $185 billion in 2010 and $230 billion by 2015.

The USA and Japan remain the largest consumers of gemstones, including diamonds, the considerable share of world retail sales is the share of these two countries.

Tajikistan has essential mineral base and it needs to be used so to provide the bigger number of citizens with workplaces, and they could gain income.

For broader attraction of national economy in the global world economy, it is necessary to stimulate goods turnover with other countries by development of the exported production industries.

In the conditions of global economy the interrelation and interaction of national economy increases.

5. Jewelry industry and basic reasons of growth rate of the jewelry industry of Tajikistan

The main consumer of the gold extracted in the world and gemstones is the jewelry industry. The annual sales volume of jewelry with gemstones exceeds 60 bln. dollars of the USA.

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