Gold and silver prices witnessed a sharp decline in Indian markets on Tuesday, a day after the government announced a cut in import duty on the metals in Budget 2021-22, a move that will help bring down prices of these precious metals in the domestic market and boost exports of gems and jewellery.
Notably, the customs duty on gold and silver was reduced to 7.5 per cent.
“Gold and silver presently attract a basic customs duty of 12.5 per cent. Since the duty was raised from 10 per cent in July 2019, prices of precious metals have risen sharply. To bring it closer to previous levels, we are rationalising customs duty on gold and silver,” Finance Minister Nirmala Sitahraman said while presenting the Union Budget 2021-22.