India hikes effective gold import duty to 15% from 6%, pressuring jewellery retailers

A 10% basic customs duty hike plus 5% AIDC lifts the effective import duty on gold and silver to 15% from 6%. Industry expects a sharp decline in gold jewellery and coin sales while old gold exchange rises, materially impacting retailers like Tanishq and Titan.

— FiledMon, 29 Jun, 2026, 01:54 IST·First seen Mon, 29 Jun, 2026, 01:54 IST·Source Moneycontrol · Results

What happened

Indian Government · India raised import duties on gold and silver to an effective 15 percent from 6 percent. Industry expects sharp decline in gold jewellery

Key facts

  • 15 percent effective import duty
  • up from 6 percent
  • 10 percent basic customs duty hike
  • 5 percent AIDC

Why this matters

Higher gold input costs and a likely consumer shift toward exchange-based purchases may pressure standalone jewellers, opening consolidation and partnership opportunities for well-capitalized players.

What to watch

  • Monthly gold import and jewellery sales volume data
  • Old-gold exchange ratio in retailer quarterly updates
  • Domestic vs international gold price premium/discount
  • Government commentary on duty review or AIDC adjustment
  • Seasonal festival/wedding demand prints (Q3 India)
  • Titan/Tanishq lean into exchange programs and lower-making-charge offers to retain volume
  • Retailers accelerate studded/diamond and high-margin product push to offset gold weakness
  • Inventory revaluation gains in near term, then destocking caution
  • Industry bodies (GJEPC) petition for duty review citing smuggling risk

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