Silver dore will carry a 10% basic import duty and 4.35% AIDC. Local silver prices jumped by up to 2% after the duty changes. The import duty on articles made of precious metals was increased to 25% from 22%. The jewellery industry was expecting a reduction on the import duty on gold as smugglers have been offering hefty discounts as illicit imports boom after COVID-19, denting the market share of banks and refiners. However, the government did not cut its import tax on gold. (Reporting by Rajendra Jadhav; editing by Jason Neely)
Messaging: rajendra.jadhav.thomsonreuters.com@reuters.net)) MUMBAI, Feb 1 (Reuters) - India raised total taxes on
silver imports 15% and on silver dore to 14.35%, the government
said in a statement on Wednesday, in an effort to align the duty
structure of the metal with gold.
The south Asian country is the world's biggest importer of
silver.
"I also propose to increase the import duty on silver dore,
bars and articles to align them with that on gold and platinum,"
Finance Minister Nirmala Sitharaman said as she presented the
2023/24 budget in parliament.
India raised its import duty on gold in July 2022.
The basic customs duty on silver was raised to 10% from 7.5%
and Agriculture Infrastructure and Development Cess (AIDC) on
the imports to 5% from 2.5%.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.