Mumbai : Gold prices saw a sharp rise this week, with the price of 10 grams increasing by ₹3,666 to reach ₹1.47 lakh, up from ₹1.43 lakh on March 27. Silver also recorded a significant gain, climbing by ₹6,166 to ₹2.28 lakh per kilogram from ₹2.22 lakh.
Government Tightens Jewellery Imports
In a major policy shift, the government has moved gold, silver, and platinum jewellery from the ‘free’ category to the ‘restricted’ category. This means importing jewellery made from these precious metals will now require a special license or permission.
According to the Directorate General of Foreign Trade (DGFT), the move aims to prevent misuse of Free Trade Agreements (FTAs). The decision is expected to impact supply in the domestic market, potentially pushing prices higher.
No Relief for Existing Orders
The new rule has come into effect immediately. DGFT clarified that even pre-existing contracts, advance payments, or letters of credit (LCs) will not receive any exemption. Goods that have not yet reached Indian ports will fall under the new regulations, with no transitional relief provided.
Impact on Market and Consumers
Challenges:
- Previously, cheaper jewellery imports from countries like Thailand benefited from lower taxes. With licensing now mandatory, prices in the local market may rise.
- Investors and buyers may face higher domestic prices due to reduced supply, along with increased premiums and making charges by retailers.
Benefits:
- Demand for domestically manufactured jewellery is likely to increase, benefiting local artisans and offering more Indian design options.
- Stricter hallmarking norms will ensure better purity and quality assurance for consumers.
Price Trends in 2026
So far in 2026, gold prices have risen by ₹13,413, while silver has increased by ₹2,607 overall. On December 31, 2025, gold was priced at ₹1.33 lakh per 10 grams, which has now climbed significantly.
Both metals had hit record highs earlier this year—gold at ₹1.76 lakh and silver at ₹3.86 lakh on January 29. However, prices have shown volatility since late February following global tensions, with both metals witnessing declines over the past few weeks before the current rebound.