India Tightens Silver Import Rules Days After Raising Customs Duty on Precious Metals
New Delhi, India — May 17, 2026
The Indian government has tightened regulations governing silver imports with immediate effect, marking another major policy move aimed at controlling precious metal inflows and managing trade dynamics.
In a new notification, the Directorate General of Foreign Trade (DGFT) announced that silver imports have been shifted from the “free” category to the “restricted” category under India’s import policy framework.
The revised rules also apply to silver coated with gold or platinum.
Importers Now Required to Obtain Government Licenses
Under the updated policy, importers will now be required to secure government licenses before bringing silver into the country. Previously, silver imports fell under the “free” category, allowing relatively unrestricted import activity.
Officials said the change has come into force immediately and is expected to increase regulatory oversight on precious metal imports.
The move is likely to affect traders, bullion importers, and the domestic precious metals market, especially as import procedures become more tightly controlled.
Decision Comes Days After Major Duty Hike
The latest restrictions follow the government’s recent decision on May 13 to sharply increase customs duties on precious metals.
Import duties on gold, silver, and other precious metals were raised from 6% to 15%, significantly increasing import costs for traders and businesses.
The new import restrictions are being viewed as a continuation of the government’s broader strategy to regulate precious metal imports and address concerns related to trade balance and foreign exchange outflows.
Precious Metal Imports Expected to Become Costlier
Industry observers expect the combined impact of higher customs duties and tighter licensing requirements to make silver imports substantially more expensive and operationally complex.
The policy changes could also influence domestic silver prices and affect sectors linked to jewelry manufacturing, bullion trading, and industrial demand.
Government officials have not yet announced any additional measures, but market participants are closely monitoring further developments in India’s precious metals trade policy.
