Gold Smuggling in India Reaches 50 Tonnes Amid Duty Hike

• Gold smuggling in India has reached approximately 50 tonnes in the September quarter, up from 3 tonnes in the same period last year.
• The surge in smuggling is attributed to a 15% increase in import duty on gold by the Indian government.
• This increase in smuggling highlights the unintended consequences of higher import costs on the gold market.
• The World Gold Council reported that illegal gold imports hit a three-year high in Q3.
• The higher import duty has led to a widening price gap, encouraging the use of unofficial channels for gold imports.