Gold and Jewellery Retailer Shares Surge After Customs Duty Cut

Shares of gold and jewellery retailers saw a significant rise, with some jumping as high as 14%, following Finance Minister Nirmala Sitharaman's announcement to reduce the basic customs duty on gold, silver, and other precious metals to 6%. The move aims to boost domestic manufacturing, export competitiveness, and value addition.

Shares of gold and jewellery retailers soared on Tuesday, with Tribhovandas Bhimji Zaveri leading the pack at a 13.86% rise to close at Rs 155.30 apiece. The surge followed the announcement from Finance Minister Nirmala Sitharaman that the government would reduce the basic customs duty on gold and silver to 6%.

Titan Company saw its shares zoom 6.63% to Rs 3,468.15, while Rajesh Exports rallied 6.32% to end at Rs 316.35 on the BSE. PC Jeweller's shares hit their upper circuit limit, climbing 5% to Rs 74.16. Senco Gold and Kalyan Jewellers India also experienced notable gains at 4.75% and 4.53% respectively.

This announcement came as part of a broader effort by the government to cut customs duties on a range of products, including critical minerals and precious metals, in order to reduce input costs, boost domestic manufacturing, and increase export competitiveness. The reduction aims to simplify taxation and promote local value addition.