Gold and other Precious Metal Jewellery Duty Upped to 15% from 10%

The customs duty on articles of jewellery and on goldsmiths’ or silversmiths’ wares was revised upwards in line with the changes in the duty rates on gold, silver and platinum. After the hikes in the duty on gold, silver and platinum has been revised periodically since 17th January 2012. With this, the customs duty on primary metal and articles of jewellery/goldsmiths’ or silversmiths’ wares is same, i.e. 10%.

A notification notifying the revised rates of customs duty on articles of jewellery and of goldsmiths’ or silversmiths’ wares and parts thereof was issued today. 

The customs duty on gold was revised upwards periodically in the past two years. Prior to 17th January 2012, the import duty on standard gold (of purity 99.5% & above) was Rs. 300 per 10 gm. The duty was raised to 2% w.e.f. 17th January 2012; thereafter, it was raised to 4% in the Budget 2012-13. The duty was further raised to 6% w.e.f. 21st January 2013 and thereafter, it was increased to 8% w.e.f. 5th June 2013. The duty on gold was last revised on 13th August 2013, when the duty was increased to 10%. The customs duty on silver which was Rs. 1,500 per kg prior to 17th January 2012, was raised to 6% w.e.f. 17th January 2012. The duty was further raised to 10% w.e.f. 13th August 2013.

The customs duty on platinum has been revised periodically in tandem with the duty on gold.

[Customs Notification No. 44 dated 17^th September 2013]

WHEREAS the Central Government is satisfied that the import duty leviable on articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal and articles of goldsmiths’ or silversmiths’ wares and parts thereof, of precious metal or of metal clad with precious metal, falling under headings 7113 and 7114 respectively of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), should be increased and that circumstances exist which render it necessary to take immediate action;

NOW, therefore, in exercise of the powers conferred by sub-section (1) of section 8A of the said Customs Tariff Act, the Central Government, hereby directs that the First Schedule to the said Customs Tariff Act shall be amended in the following manner, namely:-

In the First Schedule to the said Customs Tariff Act, in Section XIV, in Chapter 71, against tariff items 7113 11 10, 7113 11 20, 7113 11 30, 7113 11 90, 7113 19 10, 7113 19 20, 7113 19 30, 7113 19 40, 7113 19 50, 7113 19 60, 7113 19 90, 7113 20 00, 7114 11 10, 7114 11 20, 7114 19 10, 7114 19 20, 7114 19 30, 7114 20 10, 7114 20 20 and 7114 20 30, for the entry in column (4), the entry "15%" shall be substituted.

2. This notification shall come into force on the 17^th day of September, 2013.

F.No.354/165/2013-TRU