Import Duty Cut on Precious Metal Jewellery: Budget 2025

New Delhi, Feb 1 (PTI) Imported jewellery and parts made from precious metals will get cheaper as the government on Saturday proposed to reduce the basic customs duty to 20 per cent from 25 per cent in the Budget 2025.

According to the Budget document for 2025-26 fiscal, the basic customs duty on articles of jewellery and parts, and articles of goldsmiths and silversmiths ware's parts, which are categorised under HS (Harmonised System) codes 7113 and 7114, will be lowered.

The government proposed a reduction in import duty on platinum findings to 5 per cent from 25 per cent. However, it proposed imposition of Agriculture Infrastructure and Development Cess of 1.4 per cent on platinum findings.

The government also proposed a separate HS code for platinum and gold alloys.

"For a country like India which is known for its high jewellery consumption, this will definitely boost the demand in the domestic market, especially in luxury," Colin Shah, Managing Director of Kama Jewelry, said.

The provision of a separate HS code for platinum and gold alloys is another positive step that will prevent malpractices and ensure fair play in the industry, he said in a statement.

India is recognised as the largest consumer of gold in the world alongside China.