Jefferies: Gold Duty Hike to 15% Risks Smuggling Surge; Titan Best Positioned
India's gold/silver import duty jump from 6% to 15% (10% BCD + 5% AIDC) may revive smuggling and squeeze larger organised jewellers, Jefferies warns. Titan seen as relatively insulated via domestic sourcing and ~50% exchange mix. MCX gold and silver futures both spiked ~6% on the move.
Jefferies warns India's gold/silver duty hike from 6% to 15% may spur smuggling, hurting larger jewellers most. Titan better placed via domestic sourcing and ~50% exchange mix. MCX gold and silver futures jumped 6% on the news.