India has introduced new restrictions on importing certain metal alloys that contain over 1% gold by weight, aiming to stop the misuse of trade rules to bring gold into the country disguised as chemical compounds or industrial materials.
The rule applies to alloys of palladium, rhodium, and iridium, in both solid and powdered forms, if they contain more than 1% gold. Import of colloidal precious metals, which are liquids containing tiny gold or silver particles, has also been restricted.
These restrictions were officially notified by the Directorate General of Foreign Trade (DGFT) on June 17, 2025, under Notification No. 18/2025-26.
Officials said this decision comes in response to the sharp rise in gold imports, which jumped over 27% from $45.54 billion in 2023–24 to $58 billion in 2024–25. In March 2025 alone, gold imports surged 192% to $4.47 billion, compared to just $1.53 billion in March 2024.
The government is concerned that traders are importing gold in hidden forms to bypass existing import rules. A similar restriction was placed on platinum alloys earlier in March 2025, and this new order now ensures uniform rules across all precious metal imports.
However, the policy does allow industrial users to import such restricted alloys, but only with official import permission. Alloys containing less than 1% gold can still be freely imported, ensuring no disruption to industries like electronics, auto parts, or chemical manufacturing that rely on such materials.
The government says this balanced policy supports genuine trade while also keeping tighter control over the rising inflow of gold into the country.
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