India’s Illegal Gold Imports Surge 1,500% After Tax Hike

India’s Tax Hike Drives Illegal Gold Imports to Three-Year High

India’s illegal gold imports surged to the highest since 2023 in the third quarter as a government duty hike spurred use of unofficial channels, according to a report from the World Gold Council.

India’s illegal gold imports surge 1,500% after tax hike

India's illegal gold imports surged dramatically in the third quarter of 2023, reaching 50 metric tons. This rise is attributed to the government's recent duty hike on gold and silver imports. The increase in informal shipments is linked to previous tax increases that incentivized smuggling and cash sales. Gold demand typically rises during major festivals, though year-on-year metrics indicate a decline.

India's illegal gold imports surge 1500% to a three-year high: What's behind the jump?

Such imports often bypass official duties through channels such as smuggling or by carrying small quantities in luggage carried by individual travellers.

India’s tax hike drives illegal gold imports to 3-year high

Informal shipments for July to September jumped more than 1,500% to 50 metric tons from 3 tons a year earlier, the producer-funded group said, citing data from consultancy Metals Focus

Gold smuggling into India rockets 1,500% in July-Sept: Why are unofficial imports surging?

The July-September period has recorded a very high growth of 1,500% in illegal gold imports in India. The amount has jumped from 3 tonnes to 50 tonnes. The government’s duty hike has been held responsible for this jump. Illegal imports are said to be the highest since 2023.