India hikes gold, silver import duty from 6% to 15%; jewellers brace for demand hit

Government raises bullion import duty to 15% (10% basic customs + 5% agri-infra cess) to curb imports and ease CAD. Jewellers warn of weaker demand at elevated prices and resurgent grey-market smuggling. Move follows 186% YoY surge in gold ETF inflows and 20MT Q1 demand.

— FiledFri, 15 May, 2026, 08:59 IST·First seen Fri, 15 May, 2026, 08:59 IST·Source Business Today · Latest

What happened

Government of India · India raised gold and silver import duty from 6% to 15% (10% basic customs + 5% agri-infra cess) to curb imports and CAD pressure.

Key facts

  • 6% to 15% import duty
  • 10% basic customs duty
  • 5% agriculture infrastructure cess
  • 3% IGST
  • 186% YoY gold ETF inflow
  • 20 metric tons Q1

Why this matters

Distressed valuations among smaller regional jewellers and bullion importers create a window for consolidation, while hedging and supply-chain partnerships with refiners become strategic priorities to manage duty-driven cost volatility.