Gem and jewellery reforms must move swiftly from discussion to execution if Sri Lanka is to unlock the full export potential of one of its most historic industries, sector leaders warned at the opening of FACETS Sri Lanka 2026. They cautioned that regulatory delays continue to restrain growth, competitiveness, and investor confidence.
Gem and jewellery reforms seen as critical to boost exports and global credibility
Sri Lanka’s gem and jewellery industry has renewed its call for the urgent implementation of long-discussed regulatory reforms, warning that prolonged execution delays are constraining a sector capable of generating multi-billion-dollar export revenues. Industry leaders made the appeal at the inauguration of FACETS Sri Lanka 2026, the country’s flagship international gem and jewellery exhibition, held at Cinnamon Life in Colombo.
Addressing an audience comprising international buyers, diplomats, policymakers, and domestic stakeholders, Sri Lanka Gem and Jewellery Association President Akram Cassim stressed that while recent engagement with the government has been constructive, the time has come for decisive action. He noted that policy dialogue alone would not deliver tangible outcomes unless supported by effective implementation that improves efficiency, transparency, and ease of doing business.
Cassim highlighted that simplifying regulations and streamlining import and export procedures are among the most urgent priorities for the industry. According to him, unnecessary administrative friction increases costs, discourages investment, and weakens Sri Lanka’s competitiveness in a global market where buyers increasingly favour jurisdictions that offer speed, clarity, and reliability. He argued that timely reforms would enable the sector to contribute more meaningfully to foreign exchange earnings while sustaining employment across gem-mining regions and urban value chains alike.
The industry’s appeal received reassurance from the government, with Foreign Affairs, Foreign Employment and Tourism Minister Vijitha Herath outlining plans to establish an “International Trade Hub” within the year. The initiative is intended to improve trade facilitation and aligns closely with industry demands for faster clearance processes and improved logistical coordination. Minister Herath acknowledged that export-oriented industries such as gems and jewellery require modern regulatory frameworks to compete effectively on the global stage.
The Minister also pointed to the introduction of a revised tax structure designed to support the sector, alongside broader commitments to digital transformation. A key focus, he said, is the strengthening of digital traceability and certification systems to ensure credibility of origin and compliance with international standards. Such systems are increasingly essential as buyers seek assurance on ethical sourcing, authenticity, and sustainability, particularly in high-value gemstone markets.
Government and industry leaders alike emphasised that the gem and jewellery sector has been identified as a strategic pillar for sustainable foreign exchange earnings, alongside tourism. The convergence of these two sectors presents a unique opportunity to elevate Sri Lanka’s global brand beyond commodity exports and towards experiential, value-added offerings.
Cassim underscored the untapped potential of integrating gems more closely with tourism promotion, arguing that Sri Lanka’s gemstone heritage offers a compelling narrative few competing destinations can replicate. He suggested a coordinated approach with tourism authorities to create immersive experiences that trace the journey of gemstones from mine to market. From the sapphire-rich soils of Ratnapura to historic trading hubs such as Beruwela and cultural centres like Kandy, such initiatives could deepen visitor engagement while supporting regional economies.
FACETS Sri Lanka Chairman Armil Sammoon reinforced the broader social and cultural significance of the industry, describing the exhibition as more than a commercial marketplace. He reminded attendees that Sri Lanka’s reputation as Ratna-Deepa, the Island of Gems, dates back centuries, shaped by ancient trade routes and enduring craftsmanship. According to Sammoon, the modern industry continues to sustain more than half a million households, linking rural mining communities with artisans, traders, exporters, and global buyers.
Sammoon noted that every gemstone displayed at the exhibition represents not only geological rarity but also generational knowledge and livelihood. He described FACETS as a living showcase of Sri Lanka’s heritage, where prehistoric deposits meet contemporary design and international demand. This continuity, he argued, is a powerful differentiator that should be protected and promoted through sound policy and effective governance.
The growth of FACETS itself reflects the sector’s resilience. From a modest exhibition with 50 booths in 1991, it has evolved into a globally respected platform attracting buyers from key markets. This year’s event features dedicated Gem, Jewellery, and SME pavilions, highlighting the industry’s diversity and its capacity for innovation when supported by the right regulatory environment.
Despite these strengths, industry leaders cautioned that failure to implement reforms risks eroding Sri Lanka’s competitive advantage at a time when rival gem-producing countries are actively modernising their frameworks. They stressed that clarity, predictability, and efficiency are no longer optional but essential prerequisites for attracting investment and retaining buyer confidence.
As discussions at FACETS Sri Lanka 2026 made clear, the path forward hinges on translating policy intent into measurable outcomes. With global demand for responsibly sourced gemstones continuing to grow, stakeholders believe Sri Lanka stands at a pivotal moment. Effective reform execution, coupled with strategic branding and tourism integration, could position the island as a premium gemstone destination while delivering long-term economic and social returns.