Mumbai: The Directorate of Revenue Intelligence recently stopped a consignment of around 200 kg of gold jewellery imports by a Mumbai-based bullion leader. Officials believe the consignment was meant to be sold in the local market after melting it. "There is no restriction on gold jewellery imports, traders sell it after melting it. They make a profit of Rs 2,000 on 10 gm despite paying a 16% import duty. Who would wear a thick 80 gm bracelet? The racket is believed to be countrywide,'' an official said.
In November-December, smuggling figures stood at 35 kg only by passengers through Mumbai airport. Customs officials noticed a trend in November wherein many passengers declared carrying a kg of gold each. For November-December, 1,780 kg of gold was legally declared.
"The weak rupee and duties had put a price of Rs 31 lakh for a kg of gold here, while in Dubai it was Rs 24 lakh. That brought along a money-making opportunity for passengers, who had spent six months or more abroad,'' the official said. Under current laws, these passengers can bring into the country a maximum of one kg of gold for a Customs duty of only 10%. So the difference of Rs 7 lakh in the cost of a kg of gold sold here and in Dubai made it a profitable proposition even after the metal was declared and the duty paid.
10/02/14 Manju V & C Unnikrishnan/Times of India
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In November-December, smuggling figures stood at 35 kg only by passengers through Mumbai airport. Customs officials noticed a trend in November wherein many passengers declared carrying a kg of gold each. For November-December, 1,780 kg of gold was legally declared.
"The weak rupee and duties had put a price of Rs 31 lakh for a kg of gold here, while in Dubai it was Rs 24 lakh. That brought along a money-making opportunity for passengers, who had spent six months or more abroad,'' the official said. Under current laws, these passengers can bring into the country a maximum of one kg of gold for a Customs duty of only 10%. So the difference of Rs 7 lakh in the cost of a kg of gold sold here and in Dubai made it a profitable proposition even after the metal was declared and the duty paid.
10/02/14 Manju V & C Unnikrishnan/Times of India
