Gold Import Policy: Changes to HS Code 71081200 under Chapter 71

Introduction: The Government of India, through the Ministry of Commerce & Industry and the Directorate General of Foreign Trade, has issued Notification No. 44/2023- DGFT on 20th November 2023. This notification marks a significant amendment in the import policy condition for gold under HS Code 71081200 within Chapter 71 of Schedule —I (Import Policy) of ITC (HS) 2022.

Detailed Analysis: The amendment, executed under the powers conferred by the Foreign Trade (Development & Regulation) Act, 1992, brings forth changes aimed at regulating the import of gold. The existing policy condition, which restricted the import of other unwrought forms of gold, is now revised with immediate effect.

Under the new policy conditions, gold import is permitted through nominated agencies as notified by RBI (in case of banks) or DGFT (for other agencies). Additionally, qualified jewelers, as notified by IFSCA, can import gold through India International Bullion Exchange (IIBX).

Furthermore, valid India-UAE TRQ holders, as notified by IFSCA, have the opportunity to import gold through IIBX against the TRQ. They can obtain physical delivery of the imported gold through IFSCA registered vaults located in SEZs, adhering to the guidelines prescribed by IFSCA.

The amendment also allows refineries to import Gold Dore against an import license with the Actual User (AU) condition.

Conclusion: In conclusion, the amendment in the import policy condition for gold, as outlined in Notification No. 44/2023- DGFT, signifies a strategic move by the Central Government to streamline and regulate the import processes. The expanded avenues for import, including the involvement of nominated agencies and qualified jewelers, demonstrate the government’s commitment to facilitating the gold trade while ensuring compliance with regulatory standards. Importers and stakeholders are advised to stay informed about these changes to navigate the revised policy successfully. For further details and inquiries, individuals can contact the Directorate General of Foreign Trade via email at dgft@nic.in.

This detailed analysis aims to provide comprehensive insights into the recent amendment, allowing readers to understand the nuances of the updated gold import policy in India.

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Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Vanijya Bhawan, New Delhi

Notification No. 44/2023- DGFT| Dated: 20^th November, 2023 

Subject: Amendment in import policy condition of Gold under HS Code 71081200 under Chapter 71 of Schedule —I (Import Policy) of ITC (HS) 2022.

S.O. 4990(E).— In exercise of powers conferred by Section 3 and Section 5 of Foreign Trade (Development &Regulation) Act, 1992, read with paragraph 1.02 and 2.01 of the Foreign Trade Policy 2023, as amended from time to time, the Central Government hereby amends the import policy condition for ITC (HS) code 71081200 of Chapter 71 of ITC (HS), 2022, Schedule — I (Import Policy), with immediate effect, as under:

Effect of the Notification: Valid India-UAE TRQ holders as notified by IFSCA can import gold through IIBX against the TRQ and can obtain physical delivery of the same through IFSCA registered vaults located in SEZs as per the guidelines prescribed by the IFSCA.

This issue with the approval of Minister of Commerce & Industry.

(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-officio Addl. Secretary to Govt. of India
Email: dgft@nic.in

(Issued from File No. 01/89/180/01/AM-22/PC-2[B]/E-31419)