The government on Friday slashed the import tariff value on gold and silver to $405 per ten gram and $642 per kg, respectively, in line with global trends.
The import tariff value is the base price at which the customs duty is determined to prevent under-invoicing. The tariff value on imported gold stood at $414 per 10 grams, while on silver at $672 per kg till on Thursday.
The notification in this regard has been issued by the Central Board of Excise and Customs (CBEC), an official statement said.
Besides precious metals, the tariff value on imported brass scrap has also been reduced to $3906 per tonne from $3,995 per tonne. However, import tariff value on areca nut and some vegetables has been kept unchanged.
The tariff value on imported poppy seeds has been raised to $2781 per tonne from $2556 per tonne that prevailed till on Thursday.
The import tariff value on gold has been changed due to volatility in precious metals in the global market.
International gold prices have fallen below $1250 an ounce now from the level of $1322 per ounce early this month. Similarly, silver prices have slipped below $20 per ounce.
However in the domestic market, gold prices were ruling firm at Rs 31,320 per ten gram in the national capital due to high premium charges on the yellow metal in the wake of tight supply following the government's gold import curbs
India, the world's largest consumer of gold, imported 393.68 tonnes of the yellow metal during the April-September period of this year, as per official data.
The government has taken several steps to reduce gold imports, including hike in custom duties.