Increase in smuggled gold in India.

According to a recent report by the Central Board of Indirect Taxes and Customs (CBIC), seizures of smuggled gold in India, have increased by nearly 43 per cent in the first six months of the current financial year (2023-24). During the same period last year. It is reported that the amount of gold smuggled into the country may increase significantly.

Gold

Gold smuggling is increasing day by day

CBIC chairman Sanjay Kumar Aggarwal attributed the increase in seizures to several factors, including prevailing gold prices in the international and domestic markets. He also said that the customs department is working well in detecting gold smuggling.

However, it is important to note that the increase in seizures does not necessarily mean that gold smuggling has increased. It is possible that the customs department will be more effective in catching smugglers.

However, the 43 percent increase in gold seized is a significant cause for concern. Gold smuggling is a major economic crime, costing the Indian government billions of dollars in lost revenue every year. This will also distort the gold market and lead to inflation.

In the last financial year 2022-23, 3,800 kg of smuggled gold was seized. Also, 1,400 kg of gold was seized between April and September last year. This year it has increased to 2,000 kg during April and September.

To prevent gold smuggling, the Indian government is taking several measures including increasing the import duty on gold and investing in new monitoring technologies. However, it is clear that more needs to be done to address this issue.

Here are some reasons for increasing gold smuggling in India

Price differential: Gold is generally cheaper in international markets than in India. This price difference makes it profitable for smugglers to smuggle gold into the country.

Demand: India is one of the largest consumers of gold in the world. This high demand creates a large market for smuggled gold.

Porous borders: India shares long borders with several countries including Myanmar, Nepal and Bangladesh. These borders are relatively porous and easy to cross illegally, making them ideal routes for gold smuggling.

Corruption: Corruption of customs officials can also facilitate smuggling of gold.

The Government of India should take further measures to curb gold smuggling, such as increasing border surveillance, strengthening customs enforcement, and reducing price differentials between the domestic and international gold markets.

Comments

At one time, the tax rate in India was 97.50

Many feel that foreign countries tax the rich very heavily and India does not. But did you know that at one time India had to pay 97.50 percent of income tax? Indira Gandhi What is the historical tax rate in India Debates such as distribution of wealth and introduction of inheritance tax have arisen and are currently being discussed in a frenzy. But, in our country, 50 years ago, maximum tax was collected up to 97.50 percent. There was such a period in India. During Indira Gandhi's tenure as Prime Minister, income tax in India was as high as 97.50 percent. However, this collection came to an end shortly after. Indira Gandhi saw taxation as an important mechanism to balance income and wealth. Based on this, in February 1970, he presented the budget in Parliament and addressed it. Social welfare was the theme of the budget. Since the green revolution was taking place, various announcements related to the agriculture sector were included in the budget. A huge sum...

Why stock market investment tips don't work in india

It is said that proper research and analysis are necessary for direct investment in stocks. However, many investors seek tips that point to stocks that can be profitable. Stock market why stock market investment tips don't work properly Although they attract recommendations to buy or sell specific stocks, they can cause problems in practice. Especially now, with the influence of social media, stock recommendations are followed by many people. Let's look at the problems in investing in stocks based on tips. Stock Guidance: It is natural to be interested in knowing stocks that can win among thousands of stocks. But finding them is difficult. That is why many people believe that investment tips will answer this. These tips do not contain investment-related guidance. New Trends: Not only stocks, but also mutual fund schemes are given tips. These are like the technology sector is the future or the pharmaceutical sector is now safe. The basics of this strategy and th...

India will be the global gold price setting body

New Delhi: India is planning to become a gold price setter, the Chamber of Commerce of India said at a gold and gemstone conference. The industry said at the event, Gold price India will emerge as a country that sets gold prices India is a global gold price s etter. Instead, it should become a gold price setter. Domestic mining will help in this. Domestic production will meet 20 percent of the country's gold demand in the next decade. Due to insufficient domestic gold production and the lack of a gold banking system, we have to depend on the London market price. In the next 2-3 years, India will emerge as the world's jewelry hub. Gold and jewelry purchases should be honest and transparent. The Indian Standards Institution plays a key role in determining the quality of gold. Similarly, the OECD and London Bullion Market Association standards can also be adopted or equivalent standards can be developed. Similarly, the ban on the export of 24-carat gold from India h...

22k jewelers

Search This Blog