These guidelines provide a clear distinction between natural diamonds and laboratory-grown diamonds (LGDs), ensuring transparency for consumers and stakeholders alike.
The FTC’s definition emphasizes that terms like “real,” “genuine,” or “precious” cannot describe lab-grown diamonds unless they are explicitly followed by terms such as “laboratory-grown” or “laboratory-created.” GJEPC’s adoption of these standards aims to foster consumer confidence and eliminate ambiguity in the Indian market.
GJEPC has also urged the Union Government and the Ministry of Consumer Affairs to align India’s consumer protection laws with these guidelines. This would safeguard buyers from misleading claims and ensure clarity in the marketing of both natural and lab-grown diamonds. The Central Consumer Protection Authority (CCPA) has already initiated stakeholder consultations and is reviewing diamond terminology to develop an Indian Standard aligned with global practices.
Driving Industry Compliance and Awareness
Vipul Shah, Chairman of GJEPC, emphasized the importance of this initiative for India’s gem and jewellery trade. “The FTC’s updated definition reflects technological advancements and ensures clarity in diamond marketing. We urge the Government to adopt these standards within India’s Consumer Protection Act to protect consumers and maintain trust,” he said.
Shah also noted that educating the trade about the new guidelines is a priority. “We will empower stakeholders to guide and counsel consumers, enhancing confidence in both natural and lab-grown diamonds. This move will also boost global trust in India’s gem and jewellery exports.”
The Growing Role of Lab-Grown Diamonds
Lab-grown diamonds, a rapidly expanding sector, have gained significant global recognition. Smit Patel, Convener of GJEPC’s Lab-Grown Diamond Panel, highlighted their importance: “Globally, lab-grown diamonds are referred to as ‘laboratory-created’ or ‘laboratory-grown,’ not ‘synthetic.’ India must adopt this terminology to reflect advancements and the economic significance of LGDs.”
Patel also pointed out the industry’s contribution to job creation and exports, reinforcing India’s position as a leader in the lab-grown diamond sector.
Impact on India’s Jewellery Trade
By aligning with the FTC’s guidelines, India’s gem and jewellery trade is taking a significant step toward ensuring transparency and consumer trust. The adoption of standardised terminology will create a level playing field for natural and lab-grown diamonds while reinforcing India’s reputation as a reliable source for ethically marketed jewellery.
As the FTC guidelines have already been adopted in India’s key export markets, this move is expected to strengthen the country’s position in the global gem and jewellery industry.
