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In an interview with Reuters, Somasundaram PR, Managing Director of World Gold Council’s (WGC) India operations, India's gold imports are likely to bear the brunt of the latest taxes introduced by the government.
Gold imports are likely drop in H2 2017 from the first six months after jewelers rushed to stock up ahead of new taxes introduced on July 1. The goods and services tax (GST) on gold jumped to 3% from 1.2% previously.
India is the world's second biggest gold consumer after China.
Key Quotes:
"Expecting higher (taxes), certainly some of the imports and some of the demand from the second-half were advanced in the June quarter."
