North India Statesman
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The price of gold in the country has once again crossed Rs 80,000 per 10 grams. In July, when the government presented a full budget for FY 2024-25, the import duty on gold was reduced. Its advantage was seen in the market and the price of gold came down from Rs 80,000. Will Finance Minister Nirmala Sitharaman insist on reducing gold prices in the budget 2025 presented on 1 February so that the common man can buy it again?
The country’s jewelery and bullion dealers want the country’s finance minister to focus on reducing gold prices
The country’s jewelery and bullion dealers want the country’s finance minister to focus on reducing the price of gold. According to media reports, the government can make a system of purchasing gold on EMI for this. Not only this, a single regulator needs to make a standard of gold business are also feeling expert.
There should be only one gold regulator in the country
At this time, the gold business is done in different ways. These include Gold ETF, Digital Gold and Physical Gold. Therefore, they are regulated by various regulators. These include the Securities Regulatory Board of India (SEBI), the Reserve Bank of India (RBI) and the Director General of External Affairs (DGFT). Apart from this, the Ministry of Finance and the Ministry of Commerce and Industry also monitor the gold business. Therefore, experts believe that there should be only one regulator to control the gold business. This will make it easier to fix the price of gold. With the establishment of standard, gold prices will also bring uniformity across the country.
Tax must be reduced to improve margin
If we look at the refineries of gold jewelery and physical gold trading, they have been working on a margin of only 0.65 percent for the past several years. Prithviraj Kothari, president of the country’s largest bullion and Jewelers Association IBJA, says that the government should reduce import duty on raw gold to improve this margin. This will also reduce the total price of gold.
Apart from this, the need of skilled artisans to make the country gold jewelery is also felt. Therefore, the government should also emphasize their skill development. This is also said by the veteran of the industry. India is one of the largest gold importers in the world. India’s gold imports are increasing every year.
