India's 15% gold duty hike could slash demand by 60 tonnes, save $2.5B in FY27
Economists from CareEdge, Piramal, and Barclays project India's May 13 gold import duty hike to 15% could cut annual demand by 50-60 tonnes and trim the import bill by $2.5 billion in FY27. However, smuggling risks and rising international prices may blunt CAD relief, with each 1% duty rise estimated to reduce demand by 0.8%.
Economists project India's 15% gold import duty hike (effective May 13) could cut demand by 50-60 tonnes and save $2.5 billion in FY27, though smuggling and rising international prices may offset CAD gains.