On Saturday, a senior official of Dubai Gold and Jewellery Group (DGJG) claimed that India should allow non-resident Indians (NRIs) to carry more gold in personal baggage capacity when traveling back is a win-win situation for the country and its citizen.
The vice-chairman of DGJG, Siroya Chandra Prakash said that the NRIs should be allowed to carry more gold as it will decrease the margins for the parallel trade and gold will become more affordable for the residents of India.
New Delhi reduced the amount of carrying 10 kg to 1 kg for people flying into India which is the largest consumer of gold. Prakash the owner of Siroya Jewellers in Dubai said “For personal baggage, an NRI who lived outside India for more than 180 days continuously, could import 10 kilos of gold on the payment of duty. That has been brought down to 1 kilo.”
On Saturday, at a conference, he quoted “It is very practical step for India. By increasing the allowance, the margins will go down for the parallel trade and the gold will become more affordable; today everything is streamlined and transparent. Plus, more and more people want to follow the rule of law. So, I think it is high time that the Government of India should reconsider and start charging 4-6 percent duty rather than 10 percent on carrying gold to India.”
In order to discuss the Indian budget, The Institute of Chartered Accountants of India (ICAI) – Dubai Chapter hosted the conference.
India’s Consul General in Dubai, Vipul, B.R. Shetty, chairman, UAE Exchange; Mahmood Bangara, chairman, ICAI’s Dubai Chapter; and Raju Menon, chairman, Kreston Menon were present at the conference.
Mahmood Bangara suggested that any differential taxes on NRI’s may ideally be withdrawn considering the huge NRI remittance of about $80 billion annually. “Furthermore, incentives for NRI investments would facilitate higher foreign exchange inflow which will be more beneficial than the foreign direct investment,” he suggested.
India’s consul general Vipul said that the Indian economy continued its high growth path of more than 7 percent and remains the fastest growing economy among large countries globally. “We are on our way to become $5 trillion economy in the next 5 years or so,” he added.