World Gold Council reports 1,500% rise in India gold smuggling
Business
Gold smuggling into India has shot up by over 1,500% in just three months, according to the World Gold Council.
Unofficial gold imports soared from three tons to 50 tons between July and September 2026, after the government raised import duty to 15% earlier this year to tackle the trade deficit caused by high energy prices.
Tax rise fuels India gray market
With higher taxes making official gold more expensive, more people are turning to the gray market and informal deals: think travelers sneaking gold past customs or families buying off the books for weddings and Diwali.
Even though Diwali usually boosts demand, jewelers are holding back because gold slumped 6.8% in October.