CNN Central News & Network–ITDC India Epress/ITDC News Bhopal: Gold and silver prices have witnessed a significant surge in the domestic bullion market after the central government increased import duty on precious metals from 6% to 15%. The sharp revision in duty has directly impacted retail and wholesale prices across India, making gold nearly ₹10,000 costlier and silver around ₹18,000 more expensive in recent months.
Market experts believe the hike in import duty was aimed at controlling imports and reducing pressure on the current account deficit. However, the move has increased the financial burden on consumers, jewellers, and small traders. Rising global demand, currency fluctuations, and geopolitical uncertainties have also contributed to the upward trend in bullion prices.
Prime Minister Narendra Modi had earlier advised citizens to avoid unnecessary gold purchases during periods of economic pressure, emphasizing financial discipline and investment diversification. Despite the advisory, demand for gold remains strong in India due to wedding season requirements, cultural traditions, and its status as a safe investment option.
Jewellery traders say customers are now preferring lightweight ornaments and alternative investment instruments as higher prices continue to affect the bullion market and consumer sentiment nationwide.
