Govt hikes import tariff value of gold, silver

The government today hiked the import tariff value of gold and silver marginally to $545 per 10 gram and $1018 per kg, respectively, amid volatile movement in the global prices of precious metals.

The tariff value is the base price on which the customs duty is determined to prevent under-invoicing.

During last month, the tariff value of gold was $542 per 10 gram, while silver was $999 per kg.

The Central Board of Excise and Customs (CBEC) issued a notification in this regard.

Apart from precious metals, the government has increased the import tariff value of RBD palmolein to $870 per tonne from $863 per tonne in the last month.

However, the tariff value of brass scrap was lowered to $4,077 per tonne from $4106 per tonne.

The government decided to reduce the import tariff value of precious metals following volatile price trend in the international market.

In Singapore, gold fell by 0.2% to $1,660.45 an ounce and silver by 0.2% to $31.40 an ounce today.

Taking global cues, gold rates in the national market tumbled by Rs 225 to Rs 30,820 per 10 grams, while silver dropped by Rs 230 to Rs 58,750 per kg.

Traditionally, India has been the world's largest consumer and importer of gold. Recently, the government raised import duty on gold to 6% from 4% to curb demand and check higher current account deficit.