15% duty fuels gold smuggling surge; grey market undercuts official trade by ₹8-10 lakh/kg
India Bullion & Jewellers Association flags rising smuggling via Gulf, Bangladesh and Nepal routes after duty hike to 15% plus 3% GST. WGC warns of a 2013-style surge, with ₹4.19 crore already seized in Kolkata and Mumbai. Threatens organised jewellery trade across Maharashtra, TN, Gujarat and Bengal.
Import duty hike to 15% is fueling gold smuggling via Gulf, Bangladesh and Nepal, with grey-market gold selling ₹8-10 lakh/kg below market. WGC warns of 2013-style surge, threatening official jewellery trade in Maharashtra, TN, Gujarat, Bengal.
Why this matters
IBJA's smuggling alert follows reports of India's gold demand crashing 70% in the fortnight after the duty hike, signaling a rapid shift from official channels to grey-market flows.
Retail-company signals steady at 1,691 over 90 days, with bullion-trade disruption now a recurring thread.