Import duty on gold, silver jewellery hiked to 15%

Giving into concerns of domestic jewellery makers and small artisans, the government on Tuesday hiked import duty on gold jewellery to 15 per cent from the existing 10 per cent.

The step will also help contain the current account deficit (CAD) and defend the weak rupee.

The Finance Ministry said in a statement: “Jewellery making is a labour intensive industry.

Millions of artisans are dependent on this sector for their livelihood. There is an apprehension that Indian jewellery makers would not be able to compete with cheaper imports, particularly when the majority of the imported jewellery is machine-made as compared to handmade jewellery in India.”