Effective January 22, the Indian government has increased the import duty on gold and silver findings, essential components in jewelry manufacturing, along with precious metal coins, from 11% to 15%. This adjustment aligns the duties with those imposed on gold and silver bars.
Furthermore, the Ministry of Finance, in a notification released on Monday, also raised the import duty on spent catalysts containing precious metals to 14.35%, up from the previous rate of 10.1%. The objective behind these changes is to prevent the circumvention of duties on gold and silver bars.
The decision was prompted by a notable surge in imports of gold findings, including hooks, clasps, and other components crucial in jewelry production, witnessed in the last two months. A government official, speaking on the condition of anonymity, stated that this move is designed to curb the potential evasion of duties on gold and silver.
India holds the position of being the world’s second-largest consumer of gold, relying heavily on imports to meet its demand for this precious metal.
