{"id":778,"date":"2026-05-12T09:50:04","date_gmt":"2026-05-12T09:50:04","guid":{"rendered":"https:\/\/dailypakistannews.com\/?p=778"},"modified":"2026-05-12T09:50:04","modified_gmt":"2026-05-12T09:50:04","slug":"indian-banks-resume-bullion-imports-after-month-long-halt-over-3-levy-sources-say","status":"publish","type":"post","link":"https:\/\/dailypakistannews.com\/?p=778","title":{"rendered":"Indian banks resume bullion imports after month-long halt over 3% levy, sources say"},"content":{"rendered":"

MUMBAI: Indian banks have resumed gold and silver imports after a hiatus that stretched for more than a month by agreeing to pay a 3% customs levy that earlier prompted lenders to halt shipments, trade and government sources told Reuters<\/em>.<\/strong><\/p>\n

The resumption is expected to boost the country\u2019s gold imports, widen the trade deficit and put more pressure on the rupee, which is among Asia\u2019s worst-performing currencies this year.<\/p>\n

Worried about mounting pressure on India\u2019s balance of payments and the rupee, Prime Minister Narendra Modi on Sunday urged people to avoid buying gold for a year to help preserve the country\u2019s foreign exchange reserves.<\/p>\n

Stronger demand from India, the world\u2019s second-largest gold buyer after China, could also support global gold and silver prices and help local jewellers replenish their inventories.<\/p>\n

\u201cWe paid a 3% integrated goods and services tax (IGST) at customs to clear gold and silver shipments,\u201d said the head of the bullion desk at a Mumbai-based private bank.<\/p>\n

Shares of Indian jewellers slide after Modi urges pause on gold purchases<\/strong><\/a><\/p>\n

\u201cBanks waited for more than a month for the government to issue an order that annually exempts them from paying the 3% IGST. But as the government signalled it wanted to curb gold imports, banks gave up hope.\u201d<\/p>\n

Banks, which import most of India\u2019s refined gold, halted shipments at the start of the new financial year on April 1 after customs authorities began demanding IGST on the metal. When India adopted the IGST regime in 2017, gold-importing banks were exempted from paying the 3% levy.<\/p>\n

Banks have been clearing gold and silver shipments from customs in recent days, a government official said, declining to be named as he was not authorised to speak to the media. The trade sources were also not allowed to speak publicly.<\/p>\n

Banks have cleared about 9 metric tons of gold and 34 metric tons of silver so far in May after paying the IGST, the official said.<\/p>\n

Supply has improved due to bank imports, but demand remains weak, leaving gold trading at a discount, said Chirag Thakkar, chief executive of bullion importer Amrapali Group Gujarat.<\/p>\n

Dealers in India offered discounts of up to $17 an ounce over official domestic prices this week, inclusive of 6% import and 3% sales levies.<\/p>\n

India\u2019s gold imports in April are likely to have fallen to a near 30-year low of about 15 metric tons, as banks halted shipments after customs authorities began demanding the IGST.<\/p>\n","protected":false},"excerpt":{"rendered":"

MUMBAI: Indian banks have resumed gold and silver imports after a hiatus that stretched for more than a month by agreeing to pay a 3% customs levy that earlier prompted lenders to halt shipments, trade and government sources told Reuters. The resumption is expected to boost the country\u2019s gold imports, widen the trade deficit and […]<\/p>\n","protected":false},"author":0,"featured_media":779,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-778","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pakistan-news"],"_links":{"self":[{"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=\/wp\/v2\/posts\/778","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=778"}],"version-history":[{"count":0,"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=\/wp\/v2\/posts\/778\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=\/wp\/v2\/media\/779"}],"wp:attachment":[{"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=778"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=778"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dailypakistannews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=778"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}