India Tightens Import Restrictions on Precious Metal Alloys

The Indian government has introduced import restrictions on certain precious metal alloys containing gold to prevent misuse of trade channels. By expanding existing regulations, these measures aim to balance industrial demands and curb irregular gold imports.

The Ministry of Commerce and Industry has introduced new import restrictions on specific precious metal alloys containing gold, as well as colloidal metals and chemical compounds. These actions are intended to enhance regulatory oversight and prevent the misuse of trade channels for the disguised importation of gold.

According to an official statement, the ministry issued Notification No. 18/2025-26 on June 17, 2025, which restricts the import of alloys of Palladium, Rhodium, and Iridium with more than 1 percent gold by weight. This announcement, sanctioned by the Directorate General of Foreign Trade, marks a significant move towards regulating the import of precious metals and respective alloys.

This initiative extends rules previously applied only to platinum, as outlined in Notification No. 60/2024-25 dated March 5, 2025. By bringing the entire Customs Tariff Heading (CTH) 7110 under the restricted import category at the 4-digit level, the government ensures a consistent policy framework for all precious metals and related alloys.

Despite these restrictions, the government maintains a balanced approach, allowing free importation of alloys with less than 1 percent gold. This measure safeguards the industrial and manufacturing sectors, including electronics, auto components, and specialized chemical industries, from unwanted disruption.

The goal is to ensure the smooth supply of essential raw materials while monitoring gold misuse. In conjunction with these measures, the DGFT issued Notification No. 19/2025-26 on the same date to restrict imports of colloidal metals and compounds classified under CTH 2843, further preventing disguised imports.

To facilitate genuine industrial use, the import of these colloidal metals and compounds will be allowed against import authorization for sectors like electronics, electrical, and specialized chemical industries, preventing exploitation of loopholes while meeting domestic needs.

The latest government actions underscore a calibrated trade policy approach, effectively balancing industrial ease with stringent controls on irregular gold importation.