The Government of India has revised the customs duty framework for specified gold, silver, and platinum imports, effective 13 May 2026. Under the revised structure, customs duty on specified gold, silver, and platinum imports has effectively been increased to 10%, while multiple trade reports indicate the effective total import levy on gold and silver may now stand at 15%, comprising 10% Basic Customs Duty (BCD) and 5% Agriculture Infrastructure and Development Cess (AIDC), compared to the earlier effective levy of 6%, which comprised 5% BCD and 1% AIDC. The effective total import levy on platinum is now understood to stand at 15.4%, comprising 10% Basic Customs Duty (BCD), 5% Agriculture Infrastructure and Development Cess (AIDC), and 0.4% Social Welfare Surcharge (SWS).
Quick Summary
- Government revises customs duty framework through fresh customs notifications issued by the Ministry of Finance
- Customs duty on specified gold, silver, platinum imports increased from 4.35% to 10%
- Several platinum-related tariff headings also revised from 5% to 10%
- Revised provisions effective from 13 May 2026
- Effective total import levy on gold and silver bullion imports widely seen at 15%
- Effective total import levy on platinum imports widely seen at 15.4%
- Gold findings and silver findings to attract 5% customs duty
- Platinum findings to attract 5.4% customs duty
- Goods under tariff headings 7107, 7109, 7111 and 7118 revised to 10% customs duty
- Specified recycling-related imports under tariff heading 7112 retain concessional 4.35% duty under compliance conditions
- Industry expected to monitor impact on pricing, sourcing, manufacturing costs, and consumer demand
Finance Ministry Revises Customs Framework for Bullion Imports
Fresh Finance Ministry notifications revise the customs framework for bullion, jewellery findings, recycled precious metals, and related imports, triggering major implications for India’s gems and jewellery industry.
Major Customs Duty Revision Announced
In a significant move for India’s bullion and jewellery trade, the Ministry of Finance, Department of Revenue, has issued fresh customs notifications revising the import duty structure applicable to specified gold, silver, platinum-related imports along with several categories linked to precious metals, jewellery findings, and recycling-related materials.
Effective Date of New Notifications
The revised provisions introduced by the Ministry of Finance will come into effect from 13 May 2026.
Duty Rate Revised Under Revised Customs Framework
One of the most important amendments under the revised framework replaces the existing customs duty rate of 4.35% with 10% for specified entries covered under the customs structure.
Additional Revisions Across Precious Metal Categories
The revised framework further revises customs duty rates from 5% to 10% across multiple precious metal tariff headings including 7110, 7111, 7112 and 7118, thereby widening the scope of the revised customs framework across bullion, platinum-related categories, recycled precious metals, and industrial precious metal imports.
Amendment Language in the Notification
The notification states:
“for the entry ‘4.35%’ wherever it occurs, ‘10%’ shall be substituted.”
Gold, Silver & Platinum Tariff Headings Clarified
While the revised framework itself does not directly mention gold, silver, or platinum by name in all provisions, the relevant tariff headings linked to the amended framework have been clarified under the revised customs structure.
Tariff Headings Covered Under Revised Framework
Under Sl. No. 15K, the revised framework specifically refers to:
“7106, 7108 — Gold and Silver covered under Sl. No. 1 of TABLE of notification No. 57/2000-Customs…”
Additionally, the revised customs framework revises customs duty rates from 5% to 10% across several tariff headings including 7110 and 7111, which relate to platinum and other precious metal categories, thereby expanding the scope of the revised bullion duty framework.
Tariff Heading 7106, 7108, 7110 & 7111 Explained
Tariff heading 7106 relates to silver, while tariff heading 7108 relates to gold. Additionally, tariff headings 7110 and 7111 relate to platinum and other precious metal categories. Since the revised framework replaces the applicable rate from 4.35% to 10%, and revises several other precious metal tariff headings from 5% to 10%, the amendment effectively raises the customs duty applicable across specified gold, silver, platinum, and related precious metal imports covered under the revised framework.
Effective Import Levy Seen at 15%
Multiple international and trade reports, including Reuters, have further indicated that the revised framework effectively raises the total import levy on gold and silver bullion imports to 15%, comprising 10% Basic Customs Duty (BCD) and 5% Agriculture Infrastructure and Development Cess (AIDC). Platinum imports are now widely understood to attract an effective total import levy of 15.4%, comprising 10% Basic Customs Duty (BCD), 5% Agriculture Infrastructure and Development Cess (AIDC), and 0.4% Social Welfare Surcharge (SWS). However, while the Gazette notifications explicitly confirm the 10% customs duty amendment, the uploaded notifications do not separately specify the AIDC or SWS breakup.
Industry Impact Expected Across Bullion Trade
The latest revisions are expected to significantly impact bullion importers, jewellery manufacturers, refiners, wholesalers, retailers, exporters, and the broader precious metals trade, particularly at a time when international gold prices remain elevated and global geopolitical uncertainties continue to support safe-haven demand.
Market Participants Monitoring Implications
Industry participants are likely to closely monitor the implications on bullion premiums, domestic pricing, manufacturing costs, sourcing strategies, working capital requirements, and consumer demand in the coming weeks.
Wider Restructuring of Precious Metal Tariff Categories
Alongside the bullion duty revisions, the revised framework introduces a wider restructuring of customs duty classifications and tariff coverage across several precious metal categories.
Revised Customs Duty Structure
Under the revised structure:
- Gold findings will attract 5% customs duty
- Silver findings will attract 5% customs duty
- Platinum findings will attract 5.4% customs duty
- Goods under tariff heading 7118 will attract 10% customs duty
- Goods under tariff headings 7107 and 7109 will attract 10% customs duty
- Goods under tariff heading 7111 will attract 10% customs duty
Definition of Jewellery Findings Clarified
The notification also clarifies the definition of jewellery “findings,” referring to small but essential jewellery components such as hooks, clasps, clamps, pins, catches, and screw backs used to hold jewellery pieces or components in place during manufacturing.
Platinum-Related Tariff Headings Also Revised
The revised customs framework also revises customs duty rates across several platinum-related tariff headings including 7110 and 7111 from 5% to 10%, indicating that the revised framework extends beyond gold and silver to cover broader precious metal categories as well. However, platinum findings under tariff heading 7113 continue to attract a customs duty rate of 5.4%.
Concessional Duty Framework for Precious Metal Recycling Imports
Another key amendment relates to imports of spent catalysts or ash containing precious metals under tariff heading 7112. Under the revised framework, specified recycling-related imports under concessional conditions continue to attract 4.35% customs duty, while other goods under tariff heading 7112 may attract revised duty rates under the broader framework.
Compliance Conditions for Concessional Imports
Importers availing the concessional framework must comply with the Customs (Import of Goods at Concessional Rate of Duty or for Specified End Use) Rules, 2022, declare the percentage of precious metals contained in the imported material, and furnish certification from the Ministry of Environment, Forest and Climate Change permitting imports for recovery or recycling purposes.
Expanded Tariff Coverage Under Revised Framework
The revised framework also expands tariff coverage by including additional headings such as 7107, 7109, 7110, 7111, 7112, and 7118 alongside existing precious metal categories, thereby widening the customs structure governing bullion, precious metal compounds, industrial inputs, recycled materials, and jewellery-related imports.
Global Bullion & Jewellery Industry Watching Closely
The latest customs revisions are expected to be closely watched across the global bullion and jewellery ecosystem as industry stakeholders evaluate the broader implications of the government’s latest policy intervention.
FAQs
What is the new customs duty on gold and silver imports in India?
The revised customs duty on specified gold and silver imports has been increased to 10%.
When will the revised customs duty structure come into effect?
The revised provisions will come into effect from 13 May 2026.
Is the effective import levy on bullion imports now 15%?
Multiple international and trade reports, including Reuters, indicate that the effective levy on gold and silver bullion imports is now 15%, comprising 10% Basic Customs Duty and 5% AIDC. Platinum imports are widely understood to attract an effective total levy of 15.4%, comprising 10% Basic Customs Duty, 5% AIDC, and 0.4% Social Welfare Surcharge.
Which tariff headings are linked to gold and silver under the revised framework?
Tariff heading 7106 relates to silver and tariff heading 7108 relates to gold.
Has platinum-related customs duty also been revised to 10%?
Yes. The revised customs framework revises customs duty rates from 5% to 10% across several platinum-related tariff headings including 7110 and 7111, expanding the revised framework beyond gold and silver imports. However, platinum findings under tariff heading 7113 continue to attract 5.4% customs duty.
What customs duty applies to gold and silver findings?
Gold findings and silver findings will attract 5% customs duty under the revised structure.
What is the duty on imports under tariff heading 7112?
Specified imports of spent catalysts or ash containing precious metals under tariff heading 7112 continue to attract concessional customs duty under compliance conditions, while other goods under the heading fall under the revised framework.
Why are these customs duty changes important for the jewellery industry?
The revisions are expected to impact bullion imports, jewellery manufacturing costs, domestic pricing, sourcing strategies, working capital requirements, and overall consumer demand across the gems and jewellery sector.
Source: SVAR Media Network
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