NEW DELHI, May 16: India has tightened oversight of silver imports by shifting several categories of the precious metal from the “free” import policy regime to the “restricted” category, according to a fresh government notification issued on Saturday.
Under the revised framework, imports of silver bars with 99.9 per cent purity, unwrought silver, semi-manufactured silver and silver powder will now require prior government approval before shipments can enter the country. Certain categories of imports will also continue to fall under Reserve Bank of India (RBI) regulations, adding stricter financial compliance requirements for importers.
The changes have been introduced through amendments to the import policy schedule under the ITC (HS) classification and take immediate effect.
The move marks a significant tightening of control over the silver supply chain, covering a wide range of products used across industrial, manufacturing and investment segments. Until now, most of these categories were imported under the “free” regime, which allowed shipments with standard regulatory clearances and limited restrictions.
With the latest notification, importers will now have to seek explicit approval from authorities before bringing in consignments of bullion-grade silver and semi-processed silver products. Industry observers believe the step is aimed at improving monitoring of precious metal inflows and curbing excessive imports.
The latest curbs come amid the government’s broader push to reduce pressure on India’s import bill and strengthen oversight of precious metals trade. Earlier, the Centre had increased import duties on gold and silver to 15 percent from 6 percent.
In parallel, the Directorate General of Foreign Trade (DGFT) recently tightened rules governing duty-free gold imports under the Advance Authorisation (AA) scheme used by gems and jewellery exporters.
Under the revised norms, gold imports under the AA scheme have been capped at 100 kilograms per licence. First-time applicants are now required to undergo physical inspection of manufacturing facilities before approvals are granted.The DGFT has also introduced tougher compliance measures for repeat applicants, including stricter export obligation conditions and enhanced reporting requirements supported by chartered accountant certifications.
The latest restrictions on silver imports are expected to increase regulatory scrutiny across the precious metals sector while potentially impacting bullion traders, jewellery manufacturers and industrial users dependent on imported silver supplies. (IANS)
