📢 Official Update
The Government of India has reduced the Base Import Price (BIP) for precious metals, as per the latest notification from the Central Board of Indirect Taxes and Customs (CBIC).
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Gold: 🔻 Cut by $42 to $1,285 per 10 grams
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Silver: 🔻 Cut by $107 to $1,556 per kg
These revised rates are used to calculate import duty, aligning India’s duty structure with global market movements.
📜 Understanding Base Import Price
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The Base Import Price is the benchmark value on which import duties are calculated — not the actual market price.
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It’s revised fortnightly based on global bullion price trends.
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A lower base price → lower import duty → reduced landed cost for importers.
⚙️ Why This Cut Happened
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Global prices of gold & silver softened in recent sessions.
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India adjusted its BIP downward to match international spot market levels.
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This ensures fair import valuation and prevents over-taxation when global prices dip.
📊 Impact on MCX Gold & Silver
1️⃣ Short-Term Bearish Pressure
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Lower BIP = lower import duty = cheaper domestic supply.
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This may cause a short-term dip in MCX prices as traders adjust to new import costs.
2️⃣ Arbitrage Narrowing
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The price gap between COMEX & MCX narrows, since domestic import cost reduces.
3️⃣ Possible Correction Zone
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Expected short-term correction of
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💛 Gold: ₹200–₹400 per 10g
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⚪ Silver: ₹700–₹1,000 per kg
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4️⃣ Demand Revival
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Lower prices can boost jewellery & retail demand ahead of the festive and wedding season — providing strong support at lower levels.
5️⃣ Trader Sentiment
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Profit-booking likely near resistance levels.
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Fresh buying expected once correction stabilizes, especially if USD weakens or global sentiment remains bullish.
💹 MCX Trading Outlook
💬 Our View – Tradeline Capital
Despite the short-term downside from reduced import base, the medium-term outlook for bullion remains positive, supported by:
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Global central bank gold buying 🏦
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Geopolitical tensions & inflation risks 🌍
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U.S. rate-cut expectations 📉
Hence, any correction should be seen as a buying opportunity for positional traders.
📞 Contact Tradeline Capital for premium Daily Bullion Market Outlook & trading insights
🌐 www.tradelinecapital.in
📱 +91-7046379799
