Is it likely that gold import would increase to 700 tons?
Posted on: 28/Nov/2017 5:00:26 PM
It is expected that the import of gold in India would increase to 700 tons during the current financial year 2017-18.
Pravin Shankar Pandya, the president of gem-stones and jewellery export development council, had a session regarding this with the press reporters.
He explained that there are strong prospects of 5% VAT being introduced and implemented in Dubai.
Generally, 5% Import Tax is charged for gold and diamond jewellery in most Middle East Gulf countries. This has severely adversely affected India�s export performance.
He informed that out of the India export business worth Rs. 49000 Crores, 50% is done through Dubai. Import Tax for gold stands at 10%. Giving due special consideration to the extremely grim situation prevailing in this business, this import tax of 10% must be reduced to 4% to 5%.
During the financial year 2016-17, the gold import was 500 tons. It is expected that this would increase to 700 tons during the financial year 2017-18.
