Indian Custom Duty on Gold: 2025 Guide for Importers, Investors & Travellers
Posted on May 19, 2025 
Introduction: Importance of Gold Import in Indian Economy
In India, Gold is more than just a valuable metal, but it plays a key role in weddings, festivals and other religious ceremonies. For most Indians, gold is a symbol of security, prosperity and good fortune and they like to keep a certain part of their savings in the form of Gold. But gold is also big business. Behind the glitter lies a serious economic story.
In Financial year 2024–25, India has imported gold worth USD 72 billion, up from USD 51.5 billion during the previous financial year. To put that in perspective, gold now ranks as the second most imported commodity, just behind crude oil. In fact, India’s total import bill touched USD 780 billion, an increase from USD 725 billion in FY 2023–24—and gold alone accounted for nearly 10% of that.
This massive jump reflects not just growing consumer demand, but also global uncertainties pushing investors towards gold as a safe haven. Whether it’s inflation, currency fluctuations, or geopolitical tensions, gold tends to shine brighter when the world is on edge.
But here’s the catch: importing gold into India comes with a well-defined customs duty structure. From HS codes to GST and cess components, there are multiple layers that impact the final landed cost of gold. And if you’re a traveller carrying gold, the rules change again depending on your gender, duration of stay abroad, and form of gold.
In this blog, we’ll break it all down: the latest customs duty structure as of May 2025, the HS codes for various gold forms, the real-world import cost calculation, and the broader impact of tariffs, market trends, and gold’s role in personal finance and the Indian economy.
Let’s get started.
HS Codes for Gold Imports in India
The import of gold into India is classified under specific HS (Harmonized System) codes that vary based on the form and purity of the gold:
- 71081200 – Gold, non-monetary, unwrought forms (including bars and bullion)
- 71081300 – Other forms of gold, including semi-manufactured
- 71081100 – Gold powder
- 71081210 – Non-monetary gold, unwrought, with a purity exceeding 99.5% (widely used for bullion trade)
Most Common HS Code for Gold is 71081210, it is the most widely used HSN Code for importing standard gold bullion.
Indian Customs Duty Structure on Gold (as of 01-May-2025)
For HS Code 71081210, the most relevant HS code for Gold, here is the duty breakdown:
| Duty/Cess | Rate |
| Basic Customs Duty (BCD) | 10.00% |
| Agriculture Infrastructure Cess (AIDC) | 1.00% |
| GST (IGST) | 3.00% |
| Health Cess | 0.00% |
| Social Welfare Surcharge (SWC) | 0.00% |
| GST Compensation Cess | 0.00% |
| Total Customs Duty | 13.4% |
Indian Customs Duty Calculation On Gold Imports
To illustrate how Indian customs duty calculator works, let’s take a real-world scenario of Gold Imports worth INR 1 Lakh.
- Assessable Value (CIF): ₹1,00,000
Breakdown of Total Custom Duty:
| Duty/Cess | Amount (₹) |
| Basic Customs Duty (10%) | 10,000 |
| AIDC (1%) | 100 |
| GST (IGST) (3%) | 3,303 |
| Total Custom Duty | 13,403 |
Duty-Free Allowance for Travellers
Indian passengers returning from abroad are allowed to bring gold jewellery under the following exemptions:
- Male Passengers: 20 grams (maximum of ₹50,000)
- Female Passengers: 40 grams (maximum of ₹1,00,000)
Applicable only on jewellery (not bars or coins), and only if the overseas stay of the traveller has been more than 6 months.
Gold Prices & Market Trends in 2025
Gold prices in India have gone up during the year 2025 due to various factors including recession fears, weakening currency, and ongoing geopolitical tensions.
As of May 2025 Gold Price is : ₹97,150 per 10 grams
Main Factors Influencing Prices:
- Depreciation in Indian rupee is making imports costlier
- Increase in demand due to inflationary concerns
- Central banks are increasing gold reserves
- Increased investment flows amid volatility in equity market.
Role of Gold in the Indian Economy & Personal Finance
- Cultural Asset: Essential part of Indian weddings and festivals
- Financial Security: Protects against inflation and currency devaluation
- Trade Impact: High import volumes of gold impacts India’s current account deficit
- Investment Tool: ETFs, sovereign gold bonds, and physical gold are widely used
Impact of Trade Wars & Tariffs on Gold
Global tariff and trade wars have a direct impact on gold:
- Safe Haven Demand: Investors seem to rush to gold during the times of economic uncertainty
- Higher Prices: Transportation & Insurance costs go up due to trade restrictions.
- Currency Volatility: A weaker Indian currency makes gold imports more expensive
For India, this makes gold both strategically and economically significant, pushing the government to continuously re-evaluate duty structure.
FAQ: Indian Custom Duty on Gold
1. How much gold can I bring to India without paying customs duty?
Men: 20 grams (₹50,000). Women: 40 grams (₹1,00,000). Only for jewelry and if stayed abroad > 6 months.
2. What is the current customs duty on gold in India?
13.4% (10% BCD + 1% AIDC + 3% IGST)
3. Which HS Code should I use for importing gold?
HS Code 71081210 (non-monetary gold with purity >99.5%) is most common.
4. Why is gold the second-largest import after crude oil?
High cultural demand, rising investment, and global uncertainties drive imports.
5. How does global trade tension affect gold imports?
Leads to price volatility, higher costs, and increased demand for gold as a stable asset.
6. Can I calculate customs duty online?
Yes, use the Custom Duty Calculator on CusBuzz to check real-time duty based on CIF value.
Conclusion
Gold isn’t just a symbol of prosperity in India—it’s a key player in both personal finance and national economics. With rising import volumes, changing global dynamics, and evolving duty structures, staying informed is more important than ever. Whether you’re an importer, investor, or a traveler, understanding how gold is taxed and valued in India helps you make better financial and business decisions.
For real-time updates, HS codes, and accurate duty calculators, trust www.cusbuzz.com your one-stop resource for everything related to Indian customs.
Stay informed. Stay compliant.
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