Jewellery Stocks Fall As Govt Hike Import Tax On Gold, Titan Falls 2.90%

The government in India has announced a hike in the import tax on gold from current 7.5% t0 12.5% here on Friday. The high demand of the yellow metal from India has put it in the category of world second biggest consumer. The government has announced the import duty hike on gold in an effort to reduce the demand of gold.

India has been meeting most of its demand for the precious metal via import that had generated pressure on Rupee which had touched its new low today.

The India Rupee had opened flat at 78.97 per dollar however it soon hit a record low of 79.11 on Friday against previous day's close of 78.97. This is for the first time that Rupee touched a new low of 79.11 in opening trade today.

The surge in gold import tax has come at a time when India is witnessing widening current account-the broadest measure of trade.

According to World Gold Council, India had imported maximum gold in 10 years in the year 2021 and purchase of the yellow metal has gone up.

As government has hiked import tax on gold, leading jewellery stocks have witnessed a decline. Check the jewellery stocks that have fallen:

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