Govt permits legitimate quota holders underneath India-UAE commerce pact to import gold by means of bullion alternate

In a notification, the Directorate Basic of Overseas Commerce (DGFT) mentioned that these firms can receive the bodily supply of the consignment by means of Worldwide Monetary Companies Centres Authority (IFSCA)-registered vaults situated in particular financial zones.

The India-UAE complete financial partnership settlement got here into power in Could 2022 and supplies 1% responsibility concession to home importers on a specified amount of gold underneath tariff price quota (TRQ) provisions of the pact.

“Legitimate India UAE TRQ holders as notified by IFSCA can import gold by means of IIBX towards the TRQ and may receive bodily supply of the identical by means of IFSCA registered vaults situated in SEZs as per the rules prescribed by the IFSCA,” the DGFT mentioned.

UAE is among the main suppliers of gold to India after Switzerland. New Delhi has agreed to concessional import duties on gold imports of as much as 200 tonnes per yr underneath the commerce settlement. India levies a 15% import responsibility on gold on the whole.

The federal government retained the situation that gold dore may be imported by refineries towards an import license with precise consumer situation.Import can be allowed by means of nominated companies of the Reserve Financial institution of India, DGFT and IFSCA.