Customs duty hike impact: Gold, silver imports soften in July

New Delhi: India's gold and silver imports softened in July following a sharp increase in customs duty on these precious metals, according to data released by the commerce ministry.

While gold imports rose by only 4.77 percent to USD 4.16 billion, silver imports dipped 66.1 percent to USD 171.68 million in July, the data showed.

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The government has increased import duty on precious metals from 6 percent to 15 percent effective May 13.

Prices of the yellow metal were hovering around Rs 1,57,000 per 10 grams (inclusive of all taxes) in the national capital on Thursday. Silver was priced at around Rs 2.40 lakh per Kg.

Cumulatively during April-July 2026-27, gold imports grew by 32.41 percent to USD 15.17 billion, while silver imports declined 50.81 percent to USD 718.42 million.

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In April, gold imports were up 81.69 percent, 34 percent in May, and 7 percent in June.

Switzerland was the largest source of gold imports, with about a 40 percent share, followed by the UAE (over 16 percent) and South Africa (about 10 percent).

The precious metal accounts for over 5 percent of the country's total imports.

The total imports from Switzerland rose 62.26 percent to USD 2 billion in July.

India is the world's second-biggest gold consumer after China. The imports mainly take care of the demand by the jewellery industry. The imports have implications for India's current account deficit (CAD).

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