"Reduction of the import duty for gold has helped the price to be reduced by more than Rs 1,000 per sovereign" says CJMA President Muthu Venkatraman.
Coimbatore: Industrial city Coimbatore is also well known for gold jewellery manufacturing. There are more than one lakh people who have got employment opportunities in this sector.
The price of gold continued to witness an abnormal price hike. It made a history by touching Rs 42,000 per sovereign (8 grams of gold). In the recent months the price continued to witness between Rs 39,000 - Rs 38,000 range.
More investments made on gold across the globe and high import duty and GST tax rates were said as the reasons for the price upsurge.
Now the Central Government has reduced the import duty for Gold by nearly 2% which has helped us witness immediate reduction in the price of gold.
Coimbatore Gold Jewellery Manufacturers Association President, B.Muthu Venkatram said, "Previously 12.5% import duty was levied on Gold. Now nearly 2% has been reduced which has made the import duty to be reduced to 10.75%. Apart from this the gold price in the world market has also been reduced by 25 dollars. Hence both these reasons combined has helped to witness (540 +540) 1,080 price reduction per each sovereign of gold."
"We welcome the Central Government for reducing the tax rates. But that alone will not be sufficient. There are 5 crore people in India who have got employment opportunities among which 1 lakh people are employed in Coimbatore.
Considering the welfare of this sector, the Central Government should reduce import duty for gold to 6% and also reduce GST tax rates for gold from 3% to 1.5%. This will alone help both the consumers and the jewellery industry people."
Price information of 1 sovereign gold (8 grams) witnessed in Coimbatore market in the recent days
January 28 - Rs 37,680
January 29 -Rs 37,640
February 1 - Rs 38,008
February 2 - Rs 37,960
February 3(today) -Rs 36,880
The price of gold continued to witness an abnormal price hike. It made a history by touching Rs 42,000 per sovereign (8 grams of gold). In the recent months the price continued to witness between Rs 39,000 - Rs 38,000 range.
More investments made on gold across the globe and high import duty and GST tax rates were said as the reasons for the price upsurge.
Now the Central Government has reduced the import duty for Gold by nearly 2% which has helped us witness immediate reduction in the price of gold.
Coimbatore Gold Jewellery Manufacturers Association President, B.Muthu Venkatram said, "Previously 12.5% import duty was levied on Gold. Now nearly 2% has been reduced which has made the import duty to be reduced to 10.75%. Apart from this the gold price in the world market has also been reduced by 25 dollars. Hence both these reasons combined has helped to witness (540 +540) 1,080 price reduction per each sovereign of gold."
"We welcome the Central Government for reducing the tax rates. But that alone will not be sufficient. There are 5 crore people in India who have got employment opportunities among which 1 lakh people are employed in Coimbatore.
Considering the welfare of this sector, the Central Government should reduce import duty for gold to 6% and also reduce GST tax rates for gold from 3% to 1.5%. This will alone help both the consumers and the jewellery industry people."
Price information of 1 sovereign gold (8 grams) witnessed in Coimbatore market in the recent days
January 28 - Rs 37,680
January 29 -Rs 37,640
February 1 - Rs 38,008
February 2 - Rs 37,960
February 3(today) -Rs 36,880