Lab-grown diamonds to be marketed as synthetic diamonds: Official | Latest News India

NEW DELHI: Manufacturers of lab-grown diamonds will not be able to market their gems using any term other than “synthetic diamonds” and legal rules in this regard will be framed soon, a senior official said.

The Ministry of Consumer Affairs on Tuesday held consultations to create regulations for different marketing labels for natural and lab-grown diamonds due to increasing confusion, confusion and possible unethical sales practices, the official said.

Scientists can now create diamonds that resemble unearthed diamonds, have the same optical brilliance, chemical and physical properties, and can even be certified.

The growing popularity of lab-grown diamonds, which are cheaper to own, has boosted India’s jewelery trade.

Management and business consulting firm Technopak estimates the value of India’s lab-grown diamond market at $264.5 million (approximately). ₹2,228 crore).

In this context, the government is trying to frame regulations and guidelines over concerns regarding the lack of “standardized terminology and inadequate disclosure practices in the diamond industry.”

In a meeting with diamond industry representatives chaired by consumer affairs secretary Nidhi Khare, the ministry said these “gaps” have led to consumer confusion and misleading practices, especially on the distinction between natural diamonds and lab-grown diamonds.

The government recognizes lab-grown diamonds as legal. However, the national certification body, the Bureau of Indian Standards, currently mandates that the term “diamond” alone should be used to refer only to natural diamonds.

Laboratory-made diamonds should be clearly referred to as “synthetic diamonds” regardless of the production method or material used.

Khare said the Central Board of Indirect Taxes and Customs strengthened these measures on October 30, 2024, making it mandatory to clearly declare whether the diamond is natural or laboratory-grown, and if it is laboratory-grown, the production method must be specified.

Synthetic diamonds are made in special laboratories using chemical processes such as chemical vapor deposition and high temperatures with high pressure.

The meeting agreed on the need for clear labeling and certification for all diamonds, indicating their origin and method of production.

“We welcome fair and accurate labeling rules that will increase trust and trade. Customers are aware of the key aspects of laboratory-grown diamonds,” said K. Nathan of the North India Gems Association.

Proposed guidelines would ban misleading terms such as “natural” or “real” for lab-grown gems.

Natural diamonds contain very little nitrogen, while laboratory-grown diamonds contain zero nitrogen.

Natural diamonds are formed due to extreme pressure of the earth’s crust over millions of years. Laboratories are used to create the same pressure to make synthetic diamonds.