India again hikes Gold import duty to 6%

India wants to reduce gold’s share of its import bill from 11.5 percent – the second-highest outlay after oil.
Continuing it’s effort to reduce the current account deficit (CAD), world’s top gold consumer India announced yet another increase in gold import duty.

According to official figures, India increased duty on gold and platinum to 6 per cent from 4 per cent with immediate effect.

India also also announced reduction of maturity of gold to 6 months from 3 years.
The country is desperately trying to cut down the climbing gold imports which jumped 48 percent in July-September.

India wants to reduce gold’s share of its import bill from 11.5 percent — the second-highest outlay after oil.
Earlier, a leading gold trading body said India’s gold imports could drop by up to a quarter this year if the government again raises the duty on the precious metal.

India the world’s biggest gold consumer with a jewellery industry estimated to be worth $200 billion a year.

Source: BullionStreet