India allows bullion traders to import gold from the UAE under CEPA, benefiting both parties

 

India

India has made a significant effort to increase the number of people who can take advantage of the UAE's 1% import duty reduction on gold. These imports are accessible to bullion traders in India in addition to gold producers and retailers, which could quickly increase demand for gold from the UAE.

This indicates that going forward, gold traders will also profit by importing their needs at a rate of 14% rather than the 15% tax levied on shipments from other nations.

Coming as it did just before the first anniversary of the Comprehensive Economic and Partnership Agreement (CEPA) pact going into force on May 1 speaks volumes about the timing of the announcement by the Indian government. The UAE's first CEPA trade and investment agreements were with India, and during the past year, there have been significant advancements in transaction flows across industries.

One of the largest categories to benefit most from the UAE-India CEPA was the gold trade. 120 tonnes of gold were imported into India from the UAE in the previous fiscal year; this amount will increase to 140 tonnes in the following fiscal year.

The tariff reduction on UAE imports will provide a level playing field, according to Shamlal Ahamed, Managing Director for International Operations at Malabar Gold & Diamonds. India's bullion traders will also gain from this decision.

This ensures that the entire 140 tonne allotment for this year could be used.Involving bullion traders in the bidding process would also significantly increase the demand for UAE bullion on the Indian secondary market.

Comments

Post a Comment

Popular posts from this blog

“Today is a Special and Significant Day For UAE’s Space Mission”

Image
  I want to share something interesting about what I read today. It’s how f rom sending the initial Emirati into space, conveying a few earth-perception satellites and dispatching the principal Arab interplanetary mission to Mars, to shaping a space traveler corps and building up the Arab Space Cooperation Group , the UAE has had the option to secure itself as a main country for space investigation and related innovations. "In exploring the cosmos, the world speaks one language and that’s science", says @astro_hazzaa , #UAE 's first astronaut Hazzaa AlMansoori looks back on his historic space mission and how the UAE made the impossible possible. Read more: https://t.co/layGLYqOpY pic.twitter.com/S2i72dk3rU — Khaleej Times (@khaleejtimes) June 19, 2021   Looking at it, IAC 2021 is in continuation of the UAE's endeavors of its encouraging in the worldwide space field and is pointed toward extending the impacts of these accomplishments to the more extensive area,
Read more

Russian central bank hikes rates amid the Ukrainian crisis

Image
  Russia's central bank on Monday raised its key policy rate to 20 per cent from 9.5 per cent amid the Ukrainian crisis. The western countries imposed harsh sanctions against the country, which affected the Russian economy. The central bank also ordered companies to sell 80 per cent of their foreign currency revenues to manage the fallout of harsh economic sanctions. The West pummelled the country with economic sanctions over Russia’s invasion of Ukraine . Reportedly, the central bank said in a statement that external conditions for the Russian economy have drastically changed after Russia invaded Ukraine. The bank further said that the rate hike from 9.5 per cent to 20 per cent will ensure a rise in deposit rates to levels needed to compensate for the increased depreciation and higher inflation. According to Reuters, the central bank will also resume buying gold on the domestic market and ease restrictions on banks' open foreign currency positions. The Russian rouble plu
Read more

“UAE Emphasize the Proper Utilization of Plastics”

Image
  I want to share this indescribable status in UAE . It’s how the prohibition on single-utilization of plastic sacks in Abu Dhabi will become effective from June 1, following the consenting to of an arrangement with significant retailers vowing to help the new strategy planned to lessen single use plastics.   It’s amusing how the gathering of senior leaders from significant retail outlets in Abu Dhabi on Monday marked a willful announcement, committing them to help the execution of the Abu Dhabi Single-Use Plastic Policy. Major retail outlets in #AbuDhabi support implementation of Single-Use Plastics Policy. #WamNews https://t.co/p5c4KCcXwE pic.twitter.com/vnbD1GezI9 — WAM English (@WAMNEWS_ENG) May 23, 2022   For me, being focused on the significance of cooperating with inhabitants and retail outlets to address the difficulties connected with single-use plastics, and their effect on the climate
Read more