India Extends Gold Import TRQ Deadline for UAE, Boosting Jewelry Industry

• Indian government extends Tariff Rate Quota (TRQ) license deadline for gold imports under India-UAE CEPA from March 31, 2026, to June 30, 2026.
• Extension provides relief to the jewelry industry facing geopolitical tensions and logistics challenges, allowing full utilization of the quota.
• TRQ offers a 1% duty concession on a specified quantity of non-monetary gold imports from UAE, making gold cheaper for Indian jewelers.
• The quota, which started at 120 tons in FY 2022-23, has increased annually and is nearly 200 tons for FY 2025-26.
• Only jewelry manufacturers with a valid IEC can apply for this quota through bidding on the DGFT website or MSTC platform.

Key Questions Answered

How will the extended TRQ deadline impact India's gold import strategy and market dynamics in the long term?

The extended TRQ deadline to June 30, 2026, offers Indian gold importers an additional three months to bring in their allocated gold under the India-UAE CEPA.

What are the potential risks and benefits for Indian jewelers relying on the India-UAE CEPA for gold sourcing?

Indian jewelers benefit from duty concessions under the India-UAE CEPA, which extends to June 30, 2026.

Beyond the 1% duty concession, what other factors influence the cost-effectiveness of importing gold from Dubai?

Beyond the 1% duty concession, the cost-effectiveness of importing gold from Dubai is influenced by geopolitical tensions and logistics challenges.