Gold prices drop by Rs. 16,000, consumers delighted
In a delightful piece of news for consumers, gold has become significantly cheaper. The price of the yellow metal has dropped by as much as Rs. 16,000.
But there is a catch, the gold price drop has however taken place in Nepal. The government has reduced the customs duty on gold imports by half in response to India’s gold import tax.
In the budget this year, gold and silver import duty was lowered from 15% to 6%, making gold cheaper in India by Rs. 6,000. Nepal’s government has now taken this decision and lowered the tax from 20% to 10%. This has led to a fall of Rs. 15,900 per tola (11.664 grams) and consumers are delighted.
This is likely to lead to smuggling racket between the two countries. However eve after the mega reduction gold remains more expensive in Nepal. People in the country were seen buying the yellow metal in huge amounts. Further detailed reports awaited.