India hikes effective gold duty to 18.45%, caps Advance Authorisation imports at 100 kg per licence

Government doubled basic customs duty on gold to 10% and raised AIDC to 5%, lifting effective duty to 18.45% from 9.18%. Jewellery exporters face working-capital strain as Advance Authorisation licences are capped at 100 kg, while UAE CEPA's 200-tonne TRQ at 1% concession gains relative edge.

— Filed Sat, 16 May, 2026, 01:44 IST · Source Financial Express · BrandWagon · Updated

India capped Advance Authorisation gold imports at 100 kg per licence and raised effective customs duty on gold to 18.45% from 9.18%, pressuring jewellery exporters' working capital while UAE CEPA imports gain relative advantage via 1% concessional TRQ.

Why this matters

Reverses the July 2024 cut that lowered gold duty to 15% with a 100kg cap. Follows recent tariff value resets on gold and silver, and renewed scrutiny of UAE FTA gold inflows.

Retail-company signals steady at 409 in last 90 days.

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