Indian Gold Demand Expected to Rise After Import Tax Increase Avoided

Bloomberg reported that Indian gold demand is expected to rebound after the government held status quo with an import tax.

As quoted in the market report:

Finance Minister PalaniappanChidambaram refrained from boosting the tax from 6 percent after it was tripled in the past year to curb demand. All India Gems & Jewellery Trade Federation, a grouping of retailers, traders and exporters, had predicted the duty to climb to 8 percent. The “status quo” on taxes is a good sign for the industry and will attract people to gold, said BachhrajBamalwa, chairman of the federation.

To view the whole Bloomberg report, click here,