Smuggling may rise if customs duty on gold not lowered, say experts

July 27, 2014

Mumbai, Jul 27: Jewellery industry has expressed apprehensions that the government's decision of not lowering customs duty on gold from the current 10 per cent may give rise to activities in the grey market.

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Industry experts said that the decision may stoke smuggling of the precious metal.

"This decision of not lowering the customs duty will create the problem of raw material availability. The raw material availability will go out of control and the premium on gold will again rise. It will also give rise to smuggling activities," All India Gems and Jewellery Federation (GJF) chairman Haresh Soni said here.

The premiums on gold is currently ruling at USD 6-10 an ounce in the domestic market, he said.

"These negative reports will affect the market and the premiums on gold will go up immediately," Soni pointed out.

He said the rising activities in the grey market will cost revenue loss to the government.

Echoing the view, Mumbai Jewellers Association Vice President Kumar Jain said the domestic jewellery sector, which give direct and indirect employment to about two crore people, are struggling and the manufacturing has been hit due to government policies.

"The jewellery sector is struggling and is manufacturing is impacted due to various government policies. In June the import was around 105-107 tonne easing the situation a bit. However, with Centre's decision, stock crunch in the industry will arise again," Jain added.

Gem and Jewellery Export Promotion Council Chairman Vipul Shah said industry players have been demanding the lowering of customs duty to two per cent since a long time as the CAD has been brought under control.

There have been demands for reduction of Customs duty to 2 per cent on the precious metal as the Current Account Deficit (CAD) is under control and the imports declined to 638 tonnes in 2013-14, from 845 tonnes in the previous fiscal.

In 2013, the government had hiked the Customs duty on gold in phases to 10 per cent to control gold import and to bring down the CAD.

The government and the Reserve Bank also imposed other restrictions on shipments, including linking of imports to exports, the 80:20 scheme, to prevent outgo of the foreign exchange, adding to instances of smuggling.

Through import curbs, the CAD has been brought down to USD 32.4 billion or 1.7 per cent in 2013-14.

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News Network
December 16,2025

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Melkar (Bantwal): The 9th Annual Day celebration of SMR Public School, titled “EXCELLENTIA”, was held on December 15 with great enthusiasm and dignity, marking a significant milestone in the institution’s journey towards academic excellence and holistic development.

The programme was inaugurated by Dr. U. T. Iftikar Ali. The chief guests were Dr. Akhtar Hussain, Mr. P. Moosabba Beary, Mr. Zakaria Jokattre, and Dr. T. M. Abdul Rahuf—whose inspiring addresses motivated the students and appreciated the school’s contributions to education.

Mr. Abdul Nasir, Mr. Ibrahim Gadiyar, Mr. Razak Golthamajal, Mr. Sali Koya, Mr. Arshad Hussain, Mr. Ismail Balanoor, Mr. Feroz Bawa, Mr. Sahul Hameed, Mr. Abubakkar, Mr. Hameed K. Mani, Mr. Abdul Majeed (Principal, Melkar Women’s College), and Mr. Abdul Lathief (Former Principal, Melkar Women’s College) were the guests of honour.

The Annual Report was presented by the Headmistress, Ms. Fathimathul Zaheera, highlighting the school’s achievements and progress during the academic year. The Presidential Address was delivered by the Chairman of SMR Public School, Dr. Haji S. M. Rasheed, who emphasised the vital role of education in shaping students’ futures and stressed the importance of discipline, dedication, and consistent effort in achieving 100 per cent academic results.

Secretary of SMR Public School, Mr. Rifath Ahmed, and PTA President, Mr. Sandeep Kumar, were also present on the occasion.

The Annual Day celebration showcased the collective efforts of students and teachers and reaffirmed the school’s commitment to quality education and all-round development. The programme concluded with a vote of thanks, expressing gratitude to all dignitaries, parents, and well-wishers for their support. The 9th Annual Day—EXCELLENTIA—was a memorable and successful event, leaving a lasting impression on everyone present. 

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News Network
December 19,2025

Mangaluru: The Mangaluru CEN police have arrested a 23-year-old man for allegedly posting provocative and misleading content on an Instagram page named “mr_a_titude”, targeting the Bajpe police.

Mangaluru Commissioner of Police Sudheer Kumar Reddy C H identified the arrested as Abhishek M, a resident of Katipalla in Mangaluru.

A case has been registered at the Bajpe Police Station under Sections 353(1)(c), 353(2), 56, and 57 read with Section 189 of the Bharatiya Nyaya Sanhita (BNS) in connection with the post.

According to police, the accused uploaded a photograph of a hotel on the Instagram page and alleged that accused persons in a murder case under the Bajpe police jurisdiction were being given “royal treatment” by the police, including being served beef meals daily from the hotel.

The post further accused the police of supporting criminals, misusing their authority, and betraying public trust. Police said the content was provocative in nature and aimed at inciting public outrage against the police.

Following the post, a case was registered at the Bajpe police station, and further investigation was transferred to the CEN police station.

Police records indicate that the accused has a criminal history, with multiple cases registered against him, including murder, attempt to murder, assault, and robbery at the Surathkal Police Station, and one case at the Kaup Police Station.

The Commissioner said the accused was traced and arrested using technical evidence.

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News Network
December 15,2025

Mangaluru police have arrested a 27-year-old NRI on his return from Saudi Arabia in connection with an Instagram post allegedly containing derogatory and provocative remarks about the Hindu religion, officials said on Monday.

The accused, Abdul Khader Nehad, a resident of Ulaibettu in Mangaluru, was working in Saudi Arabia when the post was uploaded, police said.

A suo motu case was registered at the Bajpe police station on October 11 after an allegedly offensive post circulated from the Instagram account ‘team_sdpi_2025’. Police said the content was flagged for being provocative and derogatory in nature.

During the investigation, technical analysis traced the Instagram post to Nehad, who was residing abroad at the time, a senior police officer said. Based on these findings, a Look Out Circular (LOC) was issued against him.

On December 14, Nehad arrived from Saudi Arabia at Calicut International Airport in Kerala, where he was taken into custody on arrival. Police said further investigation is underway.

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