'The government can increase import duty on gold by 1 per cent, instead of imposing excise duty.'
Globally, gold declined from the highest level.
The government has made PAN card mandatory from January 1.
Traders said sentiment turned distinctly weak after gold prices slumped in global markets as Swiss voters rejected a plan for their central bank to accumulate bullion and oil extended its decline to five-year low, curbing demand for the precious metal.
Work in mandis across UP and in northern India which till Tuesday, witnessed heavy arrivals of newly harvested paddy, saw a steep decline.
Jewellers on Monday decided to continue their pan-India strike for an indefinite period against the Budget proposal.
