New Delhi, August 10: Following an increase in import duties, the Indian government has collected ₹10,463 crore in customs duty on gold, silver, and platinum imports between May 13 and August 2. This information was disclosed by the government in Parliament on Monday.
In a written response to a question in the Lok Sabha, Finance Minister of State Pankaj Chaudhary stated that during this period, the customs duty collection included ₹10,040 crore from gold, ₹328 crore from silver, and ₹95 crore from platinum.
Thus, the total customs duty collection from these three precious metals during this time amounted to ₹10,463 crore.
Effective from May 13, the government raised the import duty on gold and silver from 6% to 15%, while the duty on platinum increased from 6.4% to 15.4%.
Additionally, changes were made to the duties on related items, including gold and silver bars, coins, and findings.
Chaudhary explained that this decision was made to curb imports and prioritize foreign exchange for essential goods such as crude oil, fertilizers, industrial raw materials, and capital goods.
The increase in duties was prompted by rising global uncertainties, including conflicts in West Asia and the effective blockade of the Strait of Hormuz, which led to higher import prices for crude oil, food, and fertilizers.
The minister also informed the house that between May 13 and June 30, enforcement agencies seized 161 kilograms of smuggled gold and arrested 116 individuals.
India is the second-largest consumer of gold in the world after China, with gold imports primarily catering to the demand from the jewelry sector.
Gold imports significantly contribute to foreign exchange outflows and are closely monitored by policymakers from a balance of payments perspective.
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