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

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.

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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Major facelift for Mangaluru's sporting heart: Mangala Stadium set for 2-month closure to upgrade synthetic track

News Network

December 15,2025

Mangaluru, Dec 15: Educational institutions in Mangaluru that rely on the popular Mangala Stadium for their annual sports events are bracing for an inconvenience as the city's key sporting venue is set to close its gates for a significant upgrade. The stadium is expected to be unavailable for approximately two months starting from January 15, 2026.

The closure is necessitated by a proposed overhaul of the stadium's facilities, with a special focus on upgrading the synthetic track. Pradeep Dsouza, Assistant Director of the District of Youth Empowerment and Sports (DYES), Dakshina Kannada, confirmed the development.

"Experts have visited the stadium, conducted a thorough inspection, and have given the go-ahead for a complete makeover," Dsouza stated. "Funds have been allocated for the project, and we are currently awaiting the final green signal from state officials to commence the work. We anticipate that the work will likely begin in the second week of January. Consequently, we have stopped renting out the stadium to colleges and other organizations in preparation for the upgrade."

The timing presents a logistical challenge for colleges, as many schools have already concluded their sports meets.

"Colleges will now be organizing their events and will need to find alternative locations to host their sports meets," Dsouza added. He suggested a few potential venues, including the Dakshina Kannada police ground, University College grounds, Panambur grounds, Swaraj Maidan in Moodbidri, and the Mangalore University sports grounds in Konaje.

However, many institutions note that finding a comparable venue will be difficult. While the DK police ground and University College grounds are closer to the city center, they do not possess the extensive facilities and infrastructure offered by Mangala Stadium.

Dr. P Dayananda Pai - P Satisha Govt First Grade College, Carstreet, is one such institution dependent on the stadium. Principal Jayakar Bhandary expressed hope for a swift completion of the work. "We expect the work to be completed at the earliest. If not, we will be forced to look for other venues to host the sports day for our students," Bhandary said, highlighting the pressing need for the city's main sporting facility.

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