Surendra Mehta, secretary at India Bullion & Jewellers Association, spoke to CNBC-TV18 about the trends in the commodities market and shared outlook.
“The gold industry at present is not looking at any curb because any restriction on import of gold affects the market and only few people in the market make money out of any kind of restriction,” said Mehta.
“Gold has two kind of demand, one is physical demand and another is the investment demand. What we feel that physical demand can be compensated through import of gold and the Gold Monetisation Scheme (GMS), and the investment demand should be transferred to sovereign gold bond. That is why what we are suggesting is the differential rate of duty on physical gold as well as sovereign gold bond and the additional duty connected on the physical gold can be compensated for repayment of the sovereign gold bond,” he added.
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