Indian Gold Book:Indian Gold Book - Gold Bars Worldwide

More documents

Recommendations

Info

24 Background ROLE OF INDIAN GOVERNMENT CONTENTS Government initiatives since 1990 Gold import schemes for the domestic market Mobilising gold in private hands Improving the quality of gold Stimulating the export of gold jewellery Official gold reserves Government institutions Ministry of Finance Reserve Bank of India Ministry of Commerce and Industry Ministry of Consumer Affairs, Food and Distribution Ministry of Coal and Mines Government perspective CHAPTER 2 Appendices Official gold reserves 1950 - 2001 Customs duties, State sales and other taxes Indicative cost of gold imports 1990 - 2001 Chronology of Indian Government initiatives 1947 - 1990 Gold Control Rules and the Gold (Control) Act 1968 The Ministry of Finance has its headquarters in North Block, New Delhi. AN INTRODUCTION TO THE INDIAN GOLD MARKET
ROLE OF INDIAN GOVERNMENT The Indian Government closely monitors the import, export, distribution, fabrication, retailing and private ownership of gold, as it has done since 1947. As described by the Deputy Governor of the Reserve Bank of India (RBI) in 1997, the evolution of the Government’s gold control policy since 1947 centred around 5 main objectives: “To wean people away from gold, to regulate supply of gold, to reduce smuggling, to reduce the demand for gold, and to reduce the domestic price for gold.” Since 1990, the Government has adopted pragmatic policies designed to increase the share of official (as opposed to unofficial) gold imports, optimise its revenue from Customs duty, stimulate the export of gold jewellery, improve the overall quality of gold jewellery fabricated in India, and encourage the recycling of gold jewellery in private hands, notably through the Gold Deposit Scheme. Important initiatives include the introduction of official import schemes, notably the Non-Resident Indian (NRI) Scheme in 1992 and the authorisation of banks in 1997, the Gold Deposit Scheme in 1999, the hallmarking initiative in 2000, and on-going support for gold jewellery exporters. In a recent speech in March 2002, the Deputy Governor of the RBI reiterated the RBI’s pragmatic policy: “A positive approach to gold appears to be demonstrably less disruptive and more consistent with socioeconomic conditions in the country than a negative approach to gold, as amply demonstrated by the ineffectiveness as well as the disruptive nature of the control framework in the past.” Since 1992, Customs duty on imported gold has generated approximately Rs 106 billion (US$ 2.6 billion). BACKGROUND The extent of government regulation of the gold industry has varied greatly, reflecting different policies adopted over 3 broad periods. 1947 - 1963 (16 years) Although the import and export of gold was banned under the Foreign Exchange Regulation Act in March 1947, the private ownership of gold and the way that the domestic gold industry operated were subject to few restrictions. 1963 - 1990 (27 years) In January 1963, Gold Control Rules were promulgated, the final provisions enacted under the Gold (Control) Act 1968 in September 1968. During this period of 27 years, the domestic gold market was rigorously controlled. Private gold ownership was restricted to gold jewellery, and gold coins already in circulation. Owning gold bars became illegal. Gold jewellery fabricators and retailers required licences in order to operate, and were strictly regulated. The manufacture of minted bars and medallions was prohibited. The forward sale of gold was banned. Most refiners, unless authorised to refine old gold scrap, closed down. Almost all bullion dealers stopped trading - at least officially. In order to manufacture new jewellery, the gold industry was obliged - theoretically - to rely entirely on the recycling of old gold scrap. Since 1990 In June 1990, the Gold (Control) Act was repealed. There were many reasons. The gold industry had gone underground. The unofficial import of gold for sale, sometimes 50% and more above the international gold price, had not been stopped. The Government accepted that the Act had, at great expense, impeded but had not controlled the gold industry. Its repeal also fell within the new national policy of economic deregulation. Accordingly, restrictions on the private ownership of gold fell away, and trade participants no longer required licences to operate domestically. However, it was not until March 1992 that it became possible for gold - for the first time in decades - to be imported officially for the domestic market, when NRI’s (Non-Resident Indians) were allowed to import up to 5 kg every 6 months. GOVERNMENT INITIATIVES - SINCE 1990 Gold import schemes for the domestic market 1992 NRI (Non-Resident Indian) Scheme. From March, NRI’s were permitted to import up to 5 kg every six months. Increased to 10 kg in January 1997. Customs duty on imported gold bullion was applied at the initial level of Rs 450 per 10 g, but reduced to Rs 220 in April. The scheme was the main conduit for official gold imports until late 1997. Over this period, recorded NRI imports totalled 1,249 tonnes. Although the scheme is still in operation, its share of gold imports is now nominal, only 2 - 3 tonnes annually in recent years. 1994 Special Import Licence (SIL). From April, an existing scheme, whereby authorised exporters could use part of their overseas earnings to import specified goods, was expanded to include the import of gold. The licences were tradable. They could be sold to domestic entities for their own import purposes. SIL’s were important until the introduction of the OGL scheme in November 1997. 150 tonnes of gold bars, jewellery and medallions were imported over this period. In April 2001, the scheme came to an end. AN INTRODUCTION TO THE INDIAN GOLD MARKET 25
Page 1 and 2: AN INTRODUCTION TO THE INDIAN GOLD
Page 5 and 6: INDUSTRY SUPPORT MAJOR SPONSOR CORP
Page 7 and 8: PREFACE An Introduction to the Indi
Page 13 and 14: ACKNOWLEDGEMENTS GIR FIELDTRIPS GIR
Page 15 and 16: Raman Jethi Ramchand Popley Ramesh
Page 17 and 18: SUMMARY AND POSITIVE FINDINGS BACKG
Page 19 and 20: SUMMARY AND POSITIVE FINDINGS To ma
Page 21 and 22: SUMMARY AND POSITIVE FINDINGS The a
Page 23 and 24: SUMMARY AND POSITIVE FINDINGS POSIT
Page 25: SUMMARY AND POSITIVE FINDINGS INDUS
Page 29 and 30: ROLE OF INDIAN GOVERNMENT The Depar
Page 31 and 32: ROLE OF INDIAN GOVERNMENT OFFICIAL
Page 33 and 34: ROLE OF INDIAN GOVERNMENT In summar
Page 35 and 36: ROLE OF INDIAN GOVERNMENT GOLD CONT
Page 37 and 38: ROLE OF INDIAN GOVERNMENT LICENSED
Page 39 and 40: MAP OF INDIA There are 28 States, 6
Page 41 and 42: POPULATION URBAN AND RURAL State Mi
Page 43 and 44: POPULATION HOUSEHOLDS - SPLIT BY SO
Page 45 and 46: ECONOMIC INDICES STATES - INDICATIV
Page 47 and 48: AGRICULTURE VALUE OF AGRICULTURAL O
Page 49 and 50: AGRICULTURE MAJOR CROPS - NORMAL AR
Page 51 and 52: MONSOONS PERFORMANCE OF SOUTH WEST
Page 53 and 54: IMPORTED GOLD BARS The 10 tola bar
Page 55 and 56: IMPORTED GOLD BARS 10 TOLA BARS AGR
Page 57 and 58: IMPORTED GOLD BARS GOLD WEIGHT CONV
Page 59 and 60: The fine gold content of a London G
Page 61 and 62: BULLION IMPORTERS UNOFFICIAL IMPORT
Page 63 and 64: BANKS IMPORTED BULLION PRODUCTS Ban
Page 65 and 66: WHOLESALING TO DOMESTIC BULLION DEA
Page 67 and 68: BANKS BACKGROUND INFORMATION ON BAN
Page 69 and 70: BANKS GOLD CELL BRANCHES Region/Sta
Page 71 and 72: GOLD DEPOSIT SCHEME DISTRIBUTION Th
Page 73 and 74: GOLD DEPOSIT SCHEME The State Bank
Page 75 and 76: PUBLIC SECTOR UNDERTAKINGS BRANCHES
Page 77 and 78:
Region/State City MMTC HHEC STC PEC
Page 79 and 80:
NON-RESIDENT INDIAN (NRI) GOLD IMPO
Page 81 and 82:
BULLION DEALERS A secondary tier bu
Page 83 and 84:
GOLD REFINERS SMALL REFINERS There
Page 85 and 86:
COIN FABRICATORS Corporate gifts Al
Page 87 and 88:
COIN FABRICATORS A bullion dealer t
Page 89 and 90:
BAR HOARDING Some trade entities in
Page 91 and 92:
BULK DELIVERY OF OFFICIAL GOLD IMPO
Page 93 and 94:
BULK DELIVERY OF OFFICIAL GOLD IMPO
Page 95 and 96:
PERSPECTIVE INDIA The gold jeweller
Page 97 and 98:
GOLD JEWELLERY PRODUCTS Handmade je
Page 99 and 100:
REGIONAL JEWELLERY STYLES KOLKATA K
Page 101 and 102:
REGIONAL JEWELLERY STYLES AHMEDABAD
Page 103 and 104:
REGIONAL JEWELLERY STYLES SWAMI JEW
Page 105 and 106:
JEWELLERY FABRICATORS All centres,
Page 107 and 108:
JEWELLERY FABRICATORS JEWELLERY WHO
Page 109 and 110:
TRADITIONAL JEWELLERY RETAILERS Sta
Page 111 and 112:
TRADITIONAL JEWELLERY RETAILERS Coi
Page 113 and 114:
TRADITIONAL JEWELLERY RETAILERS ANT
Page 115 and 116:
TRADITIONAL JEWELLERY RETAILERS Man
Page 117 and 118:
ADORNMENT DIMENSION Gold jewellery
Page 119 and 120:
GOLD JEWELLERY CONSUMERS MARRIAGES
Page 121 and 122:
GOLD JEWELLERY CONSUMERS Among larg
Page 123 and 124:
GOLD JEWELLERY CONSUMERS RURAL VERS
Page 125 and 126:
GOLD JEWELLERY CONSUMERS Gold jewel
Page 127 and 128:
GOLD JEWELLERY CONSUMERS INDICATIVE
Page 129 and 130:
LUNAR CALENDAR Mumbai (Maharashtra)
Page 131 and 132:
BRANDED JEWELLERY RETAIL CHAINS DIS
Page 133 and 134:
Region/State Gili Tanishq Carbon In
Page 135 and 136:
HALLMARKS In accordance with BIS pr
Page 137 and 138:
HALLMARKING Most jewellery in the W
Page 139 and 140:
SOURCES OF GOLD BULLION Jewellery e
Page 141 and 142:
Location US dollars in millions % S
Page 143 and 144:
Plain gold jewellery Location US$ m
Page 145 and 146:
INDUSTRIAL GOLD USAGE Since the rep
Page 147 and 148:
INDUSTRIAL GOLD USAGE IMITATION GOL
Page 149 and 150:
MUMBAI GOLD PRICES Indian gold pric
Page 151 and 152:
MUMBAI GOLD PRICES INDICATIVE DIFFE
Page 153 and 154:
MONTHLY 2000 - 2001 2000 MUMBAI LON
Page 155 and 156:
PRICING AND PROFITABILITY Bank impo
Page 157 and 158:
Recycling of old gold scrap and bar
Page 159 and 160:
JEWELLERY WHOLESALERS Jewellery who
Page 161 and 162:
Hallmarking charges The few hundred
Page 163 and 164:
PRICING AND PROFITABILITY MINTED CO
Page 165 and 166:
GOLD MINING AND EXPLORATION For 36
Page 167 and 168:
Year Tonnes Year Tonnes 1970 3.241
Page 169 and 170:
GOLD SUPPLY AND DEMAND Movements in
Page 171 and 172:
GOLD SUPPLY AND DEMAND The trade at
Page 173 and 174:
For the domestic market 1990 - 2001
Page 175 and 176:
GOLD SUPPLY AND DEMAND INDICATIVE G
Page 177 and 178:
GOLD SUPPLY AND DEMAND INDICATIVE A
Page 179 and 180:
WORLD GOLD COUNCIL The World Gold C
Page 181 and 182:
WORLD GOLD COUNCIL TRADITIONAL GOLD
Page 183 and 184:
WORLD GOLD COUNCIL LOCAL FESTIVALS
Page 185 and 186:
WORLD GOLD COUNCIL YOUNGER GENERATI
Page 187 and 188:
Indian Overseas Bank Precious Metal
Page 189 and 190:
REFINERS AND COIN FABRICATORS WEST
Page 191 and 192:
BIBLIOGRAPHY Agricultural Statistic
Page 193 and 194:
ABOUT GRENDON INTERNATIONAL RESEARC
show all

Indian Gold Book:Indian Gold Book - Gold Bars Worldwide

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?