Govt hikes import tariff value on gold, silver

Tags: News
The government today hiked the import tariff value on gold and silver to $ 428 per 10 grams and $ 688 per kg, respectively, as global prices rose on safe-haven buying in the wake of geo-political tensions.

During the second fortnight of this month, tariff value on imported gold stood at $ 411 per 10 grams and silver at $ 632 per kg.

The import tariff value -- base price at which customs duty is determined to prevent under-invoicing -- is revised on a fortnightly basis, taking into account the volatility in global prices.

The hike in tariff value on imported gold and silver has been notified by the Central Board of Excise and Customs, an official statement said.

Global gold prices have firmed up due to the escalating violence in Iraq and Ukraine that has bolstered demand for the precious metal. In London, spot gold prices had hit a two-month high of $ 1,325.90 per ounce last week.

India's gold imports have declined over 74 per cent to $ 1.75 billion in April this year due to restrictions imposed by the government on inbound shipments of the precious metal to narrow the current account deficit.

Gold is the second largest import item for India after petroleum. Due to several curbs, the country's total gold and silver imports dropped 40 per cent to $ 33.46 billion in 2013-14, against $ 55.79 billion in the previous year.

These curbs include raising the import duty on the metal to 10 per cent and also making it mandatory for traders to export 20 per cent of the imported gold. P

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • India would have done well not to supress the 'Bofors interview'

    Bofors is one case that refuses to go away two-and-half decades after it grabbed public attention and became a byword for political corruption, claimi

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Varun Dutt

THE BLAME GAME

In decision-making, the fundamental attribution error (FAE), also known as ...

Zehra Naqvi

Dignity of labour is dignity of life

M Rafi Khan, a retired police IG, used to ...

Gautam Gupta

Retailers have it tough, thanks to e-commerce

For the past few months our focus has been on ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture