The Centre has tightened import rules for silver by shifting several categories of the precious metal from the “free” to the “restricted” import policy regime, a move aimed at strengthening oversight on precious metal imports and containing the country’s rising import bill.
According to a notification issued by the Directorate General of Foreign Trade (DGFT) on Saturday, imports of silver bars containing 99.9% or more silver by weight, along with other specified categories of silver bars, unwrought silver and semi-manufactured silver forms, will now require prior government authorisation.
The revised rules also make certain silver imports subject to Reserve Bank of India (RBI) regulations. The changes have been introduced through amendments in the import policy schedule under the ITC (HS) classification.
“The Import Policy of items covered under ITC HS Code 71069221 and 71069229 has been revised from ‘Free’ to ‘Restricted’, subject to Policy Condition No. 7 of Chapter 71 of ITC (HS) 2022, Schedule-I (Import Policy), with immediate effect,” the notification said.
The latest restrictions come as part of a broader government push to tighten monitoring of gold and silver imports. Earlier, the Centre had increased import duty on gold and silver to 15% from 6% in an effort to curb excessive imports and reduce pressure on the current account deficit.
The government had also tightened norms for duty-free gold imports by gems and jewellery exporters under the Advance Authorisation (AA) scheme.
Under the revised framework, gold imports under the AA scheme have been capped at 100 kg per licence. First-time applicants will also face mandatory physical inspection of manufacturing facilities before approvals are granted.
The DGFT has additionally introduced tighter compliance requirements for repeat applicants. Fresh authorisations will now be issued only after at least 50% of export obligations under earlier licences are fulfilled.
Exporters importing gold duty-free will also be required to submit fortnightly reports, certified by chartered accountants, detailing import and export transactions. Regional authorities will send consolidated monthly reports to DGFT headquarters for central monitoring.
The tighter regulations come after India’s gold imports surged over 24% to a record $71.98 billion in 2025-26 despite lower import volumes. Industry bodies, including the All India Gems and Jewellery Council, have warned that higher duties and stricter restrictions may encourage smuggling and grey market activity.