Since the announcement of the cut in the import duty of gold and silver, the price of gold has continued to fall in the Delhi bullion market. Today, gold fell by Rs 232 to Rs 47,387 per 10 grams. Gold had closed at Rs 47,619 per 10 gram in the previous trading session. Due to the decrease in the global market, the price in the domestic market also decreased.
Silver price also drops drastically
Talking about silver, today the price of silver fell by Rs 1,955 to Rs 67,605 per kg as against Rs 69,560 per kg in the previous trading session. In the international market, gold and silver stood at US $ 1,835 per ounce and US $ 26.78 per ounce respectively.
So the decline
It was announced in the budget to reduce the customs duty on gold and silver to 7.5 percent. Navneet Damani, vice-president (commodity research), Motilal Oswal Financial Services, said that declining to reduce the fee from 12.5 per cent to 7.5 per cent in the budget led to the fall in gold. This step has been taken in view of the recent rise in gold prices, smuggling and other factors.
The jewelery industry welcomed the move, saying it could boost retail demand and curb smuggling in the world’s second-largest bullion consumer. Analysts say that rising global demand for gold could support global prices.
The country’s gold demand declined by more than 35 per cent to 446.4 tonnes in the previous year ie 2020. This information is given in a report of the World Gold Council (WGC).
Nidhi Malviya is fun loving girl. She writes at NoobFeeds about various topics related to Finance, Technology, Business etc.