Spot gold prices continue to rise as govt hikes import duty
This story was originally published at 14:42 IST on 14 May 2026
Register to read our real-time news.Informist, Thursday, May 14, 2026
By Taniva Singha Roy
MUMBAI – Gold prices in the spot market continued to rise for the second day as the government increased the import duty on the precious metal, traders said. Gold of 99.9% purity opened at INR 161,349 per 10 grams in Mumbai, up INR 372 from Wednesday's close, according to data from the India Bullion and Jewellers Association Ltd.
Traders are offering a discount of INR 4,000 per 10 grams. "Gold prices rose due to the increase in duty," said Kumar Jain, spokesperson for the India Bullion and Jewellers Association. Spot gold prices had risen INR 8,779 per 10 grams in Mumbai to INR 160,411 on Wednesday after the government increased the import price on gold to 15%.
The government on Tuesday increased import duty on gold and silver to 15% from 6% in a bid to curb the import of precious metals. In notifications issued late Tuesday night, basic customs duty on gold and silver imports was increased to 10%, while the Agriculture Infrastructure and Development Cess was increased to 5%.
Gold prices surged, driven by a combination of domestic policy changes, escalating geopolitical tensions, and persistent inflation concerns, Amit Gupta, analyst at Kedia Advisory, said in a note. "While the (government) move may weigh on physical demand in the near term, it is expected to support the rupee and narrow the trade deficit," he added.
India's gold imports rose 24% to $71.98 billion in FY26, while silver imports rose 150% to $12.05 billion.
Global safe-haven demand also strengthened after US President Donald Trump described the US-Iran ceasefire as being on "massive life support," raising fears of renewed disruptions in West Asia and prolonged uncertainty around the Strait of Hormuz. End
Edited by Saji George Titus
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.
Informist Media Tel +91 (22) 6985-4000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2026. All rights reserved.
To read more please subscribe
Share this Story:
