The Budget 2026 has kept rates on customs duty unchanged for import of gold and silver. Importers will continue to pay the same duty rates as before.
Currently, import of gold in all forms attracts a 6 percent duty, including 5 percent basic customs duty (BCD) and 1 percent agriculture infrastructure and development cess (AIDC).
Silver imports are taxed at 6 percent for eligible Indian residents, while others pay 36 percent, comprising 35 percent basic customs duty and 1 percent AIDC. Both metals attract a uniform GST of 3 percent.
The Centre had slashed the customs duty on gold from 15 percent to 6 percent with effect from July 24, 2024.
Although there was some confusion earlier when the Finance Minister Nirmala Sitharaman announced that “the tariff rate on all dutiable goods imported for personal use would be reduced from 20 per cent to 10 per cent,” market experts have clarified that it will not include the import of gold and silver jewellery, or any other precious metals.
Goods for personal use generally include items such as clothing, footwear, personal electronics, gadgets, watches, accessories, household items, and certain medicines imported in reasonable quantities and not intended for commercial resale, often assessed under the personal effects or baggage provisions of customs law.
“There was no update on import duty for bullion in the Budget 2026. With sharp weakness already seen in CME on Friday, domestic gold and silver reacted negatively,” an industry expert said.
Gold has corrected nearly 20 percent from its peak of Rs 1,82,500 to around Rs 1,47,800, while silver has seen a much sharper 36 percent decline from Rs 4,20,000 to near Rs 2,65,650.
