Gold and Silver Imports Get Cheaper After Government Cuts Base Prices

The Government of India has reduced the base import prices of gold and silver, lowering the notional value used to calculate customs duties. The revision was notified on February 4, 2026, by the Central Board of Indirect Taxes and Customs. 

Revised Base Import Prices for Gold and Silver 

The base import price of gold has been reduced by around $50 to $1,518 per 10 grams. The base price of silver has been lowered by more than $800 to $2,657 per kilogram. 

These revised prices apply to gold and silver imported in specified forms under applicable tariff headings. The reduction also covers high purity gold bars and coins, along with silver bullion and medallions. 

Scope and Exclusions Under the Revision 

The revised base prices do not apply to jewellery, articles made of precious metals, or imports made through post, courier, or baggage channels. The changes affect only the calculation base for customs duty and not the applicable duty rates. 

Gold base prices were last revised on January 22, 2026, while silver base prices were previously revised on January 27, 2026. 

Read More: India's Gold Demand to Decline in 2026 as Jewellery Buying Slumps; Investment Demand Rises! 

Impact on Imports and Trade Metrics 

The reduction comes at a time when global gold and silver prices are near record levels. Even if import volumes remain unchanged, the value of imports may rise due to elevated international prices. 

India meets nearly all of its gold demand through imports and depends on overseas sources for more than 80% of its silver requirements. The country spent close to 10% of its total foreign exchange reserves on gold and silver imports in the previous year. 

Government Review Mechanism 

The government typically reviews and revises base import prices of precious metals every 2 weeks, aligning domestic duty calculations with global price movements. 

Conclusion 

The reduction in base import prices for gold and silver adjusts the customs duty calculation amid high global prices. The move reflects routine revisions under India’s import pricing mechanism for precious metals. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.