India doubles gold customs duty to 10%, total tax hits 18.45% as DGFT caps exporter imports at 100kg
Government raised basic customs duty on gold from 6% to 10% and lifted AIDC five-fold to 5%, pushing total tax incidence to 18.45%. DGFT capped duty-free jewellery-exporter imports at 100kg. Domestic 22K gold at ₹14,895/gm; spot discounts widened past USD 200/oz as physical demand cooled.
What happened
Government of India · India doubled gold customs duty to 10% and hiked AIDC five-fold, lifting total tax incidence to 18.45%. DGFT capped duty-free
Key facts
- import duty 6% to 15%
- basic customs duty 10%
- AIDC 1% to 5%
- tax incidence 18.45%
- Advance Authorisation cap 100 kg
- 22K gold ₹14,895/gm
- silver ₹3,000/10gm
- platinum ₹65,360/10gm
- India gold imports USD 71.98 bn FY26
- volumes 721.03 tonnes (-4.76%)
- spot discounts >USD 200/oz
- spot gold $4,619.49/oz (-0.6%)
- US gold futures $4,625.70 (-1.3%)
- Brent >$106
Why this matters
Tax shock and export caps create acquisition opportunities among stressed mid-tier jewellers and exporters, while vertically integrated players with bonded warehousing or SEZ operations gain strategic premium as regulatory arbitrage targets.