The Indian government has collected Rs 10,463 crore in customs revenue from higher import duties on gold, silver, and platinum between May 13 and August 2, 2026. Finance Minister of State Pankaj Chaudhary disclosed this data in the Lok Sabha on August 10 in response to a question from TMC MP Mala Roy.
Gold Alone Contributes Rs 10,040 Crore to Government Revenue
Gold imports contributed the largest share at Rs 10,040 crore in customs duty. Silver added Rs 328 crore and platinum brought in Rs 95 crore during the same period. The government raised the import duty on gold and silver from 6% to 15% effective May 13, 2026. Platinum duty was increased from 6.4% to 15.4%.
Higher Import Costs Hit Consumers and Jewellery Sector
The steep duty hike directly raises the cost of importing these precious metals into India. Importers now pay significantly more to bring gold and silver from overseas markets. This added cost eventually flows through to retail jewellery prices and consumer buying decisions. International gold prices, dollar movements, interest rates, and geopolitical tensions also influence final market rates.
Smuggling Activity Rises Alongside Higher Duty
Government agencies registered 287 cases of gold smuggling between May 13 and June 30, 2026. Authorities seized 160.91 kilograms of gold and arrested 116 people in these operations. The higher import duty increases the incentive for illegal gold imports through unofficial channels. Customs and enforcement agencies have stepped up monitoring and action against smuggling networks.
India’s Gold Demand Remains Among Highest Globally
India is one of the world’s largest gold consumers with strong demand from weddings, festivals, and investment purposes. The country imports large quantities of gold to meet domestic needs. However, the government does not maintain official data on the amount of gold lying idle in Indian households. The minister confirmed that no such official figures are available.
