Government has raised the tariff value of gold to $472 per 10 grams on account of a volatile price trend in global markets.
Tariff value is the base price on which the customs duty is determined to prevent under-invoicing. It was only 10 days back that tariff value of gold was changed bringing it down to $449 per 10 grams due to weak global prices.
However, the import tariff value of silver has been kept unchanged at $762 per kg.
The notification in this regard was issued by the Central Board of Excise and Customs (CBEC), an official release said.
The government has cut the import tariff value of gold as international prices of the precious metal have started firming up after witnessing a sudden fall in last few weeks.
In Singapore, gold prices firmed up to $1,462 per ounce last week. Prices had also declined to $1,321 per ounce early this month.
Similarly, domestic rates of gold in the national capital were ruling firm at Rs 28,100 per 10 grams last week.
As per trader estimates, gold imports are expected to rise by 20 per cent to around 183.6 tonnes in the April-June quarter of the current fiscal.