The government today increased customs duty on gold. Currently, gold attracts import duty of 10%. According to the Budget proposals, import duty to be hiked on gold and precious metals to 12.5%, from current level of 10%.
India is one of the largest gold importers in the world, and the imports mainly take care of demand from the jewellery sector.
India imported gold worth $32.8 billion during 2018-19.
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Watch Video | Budget 2019: Gold to get costlier, customs go up from 10% to 12.5%