Importing gold dore bars (unrefined/semi-processed gold, typically 50-90% purity) into India is a restricted activity regulated by the DGFT, RBI, and Customs. It is primarily allowed for licensed refineries under an Actual User (AU) condition.

Updated Guide: Importing Gold Dore Bars into India (as of May 13, 2026)

Gold import duties in India have been significantly hiked. The government raised effective import tariffs on gold and silver to 15% (from ~6%) via Finance Ministry notifications effective May 13, 2026. This includes 10% Basic Customs Duty (BCD) + 5% Agriculture Infrastructure and Development Cess (AIDC).

This reverses the 2024 reductions aimed at curbing smuggling and now seeks to reduce imports, ease pressure on forex reserves, narrow the trade deficit, and support the rupee amid external challenges.

Key Regulations (Updated as of May 2026)

  • ITC (HS) Code: Primarily 71081200 (Other unwrought gold, including dore bars).
  • Import Policy: Restricted. Gold dore imports remain allowed primarily for licensed refineries under Actual User (AU) conditions, regulated by DGFT, RBI, and Customs. Recent DGFT notifications (e.g., from early 2026) have tightened rules on precious metals under Chapter 71, moving several items to restricted status requiring licenses.
  • Eligibility: BIS-approved refineries (with NABL accreditation for new applicants) are the primary importers. RBI-nominated banks can import under broader permissions but dore is less common for them due to refining needs.

Step-by-Step Import Procedure

The core process remains similar, but expect heightened scrutiny on duties, compliance, and utilization due to the hike:

  1. Obtain Necessary Registrations & Approvals:
    • Valid IEC from DGFT.
    • GST Registration.
    • BIS License for the refinery (mandatory).
    • NABL Accreditation (required before BIS for new refiners).
    • Other: MSME (if applicable), PAN/Aadhaar, company documents.
  2. Apply for DGFT Import License:
    • Quantity-specific authorization with AU condition (material for own refining only).
    • Processing: 3-5 working days or longer.
  3. Arrange Sourcing & Shipping:
    • Source from reputable (e.g., LBMA-accredited) suppliers.
    • Check trade agreements (e.g., India-UAE CEPA TRQ where applicable, often via IIBX/SEZ).
    • Documents: Invoice, packing list, bill of lading, certificate of origin/analysis, insurance.
  4. Customs Clearance:
    • Use bonded warehouses.
    • File Bill of Entry via ICEGATE.
    • Pay updated duties (detailed below).
    • Verification of quantity, purity, and license.
  5. Post-Import Compliance:
    • Refine into standard bars.
    • Submit utilization reports (imports, refined output, supplies to exporters, export proofs) to authorities.
    • Maintain audit records. Export obligations (e.g., historical 20% guidelines) and quantity limits based on performance may apply.

Duties & Taxes (Updated as of May 13, 2026)

  • Customs Duty on Gold Dore: Now aligns with the general hike to ~15% effective (10% BCD + 5% AIDC). Previously lower (~5.35%) than finished bars.
  • IGST: 3% on (assessable value + customs duty). Input Tax Credit available.
  • Tariff Value: Periodically notified by CBIC based on international prices.
  • Total Burden: Significantly higher than pre-hike levels. This may impact economics of dore imports (previously advantageous due to lower rates) and could encourage smuggling risks, as noted by industry sources.

Note: Policies evolved from 15% (pre-2024) → ~6% reductions → current 15% hike. Always verify latest CBIC notifications and tariff values.

Important Conditions & Restrictions

  • Dore for refining only — no diversion without paying full duties.
  • Export support obligations (e.g., 20% of lots for exports via nominated agencies).
  • SEZ/EOU units: Limited to export-oriented use.
  • Non-compliance: License cancellation, penalties, confiscation.
  • Recent DGFT changes (e.g., Notifications in April 2026) have restricted more precious metal items, requiring licenses.

RBI-Nominated Banks vs. BIS-Approved Refineries

Nominated banks (e.g., ~15 banks like SBI, HDFC as of 2026) can import gold “in any form” including dore under their authorizations, with 20% export obligations. However, refineries remain the preferred/direct route for dore under specific DGFT licenses.

Recommendation: Refineries should apply directly for DGFT licenses. Banks can facilitate but add fees/conditions. Route via bonded warehouses and comply strictly.

Final Advice: Policies change rapidly (e.g., recent hikes and DGFT updates). Consult a licensed Customs House Agent (CHA), DGFT consultant, or professional for the latest (check DGFT website, ICEGATE, and notifications like No. 16/2026-Customs). Ensure BIS/NABL compliance before setup. This is a general restructure based on available info — professional advice is essential for your specific case.

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