Post Budget Quote - Mr. Sachin Kothari, Director - BullionIndia.in

Previous Congress led government took tough decisions to bring down CAD by restricting import of gold through various measures like 80:20 rule and import duty hikes. Hence, CAD came down from 0.9% to 0.2 %. With the CAD coming under control, there was lot of expectations from the newly formed BJP led government. However current budget has not seen any change in import duty, hence there is no respite for traders and the consumers. Slight modification on the import duty along with change in 80:20 rule was expected as it would have increased supply of the gold and given impetus to ailing bullion industry of India. Common man and the traders will continue to bear the burden of high prices in comparison to their International prices.

Source : Equity Bulls

Keywords