Surging gold imports cause for concern: Official


Mumbai, Dec 17 (IANS): Import of a whopping 150 tonnes of gold in November even before curbs were lifted was a cause for concern as a 38 percent jump in a month resulted in widening of the trade deficit to an 18 month high, a senior official said Tuesday.

"Gold imports of 151.58 tonnes in November is a phenomenal rise of 38 percent from 109.55 tonnes in October and an incredible jump of 571 percent over the same month last year despite import restrictions still in place," Commerce Secretary Rajeev Kher told reporters here.

The latest gold import data from the trade ministry disproved the belief that the yellow metal was losing its sheen.

The government Nov 28 scrapped the 80:20 scheme that was introduced in August 2013 to reduce the widening current account deficit then, as it made obligatory for importers to export 20 percent of all gold imports.

"We will examine the impact of revising the scheme. We will wait and take a call at an appropriate time," Kher said.

Gold imports in December are expected to be less than in November in the absence of weddings and festivals.

The government had also levied 10 percent import duty on gold last year to check surging inflows of the precious metal.

  

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Comment on this article

  • Eric Coelho, Mangalore

    Wed, Dec 17 2014

    Ban imports of Gold completely. If you want to save Foreign exchange this is the only solution. Indians are fools to put their money on gold and they say it is an investment but it is a waste of money and investment. I have always seen that the east believes in accumulating wealth and the west believes in spending their wealth.

    DisAgree [2] Agree [4] Reply Report Abuse

  • Stan, Udupi/ Dubai

    Wed, Dec 17 2014

    Gold is not an essential commodity and because of it so many people are loosing lives.When Indians stop adoring gold country's economy will be back on track.

    DisAgree [2] Agree [1] Reply Report Abuse

  • vinayak, mangalore / dubai

    Wed, Dec 17 2014

    When the yellow metal comes inside the country, it is good for the country. But with the new laws in place, it has become very difficult for a common man to bring in gold as the customs officials harass a lot at the airports. Attack the smugglers rather harassing a common man, while he/she brings in some gold for thier own.

    DisAgree [1] Agree [9] Reply Report Abuse


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