Budget 2021 | Reducing import duty on gold to 7.5% a step in the right direction: Malabar Gold Chairman

Ahammed M P, Chairman, Malabar Gold & Diamonds. Credit: Facebook/MPAhammed

By Ahammed M P

Reducing import duty on gold to 7.5% is a step in the right direction and in line with the long-standing demand of the gems and jewellery industry. Higher import duty was not only indirectly promoting illegal gold transactions but also eroding the government’s revenue.

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The import duty reduction will make trade compliance. Moreover, the government should also focus on strengthening the e-governance system to beef up the tracking mechanism of illegal transactions of gold.

All in all, transparent trade always boosts consumer confidence.

(The author is the Chairman of Malabar Gold & Diamonds)

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