Although the government has cut import duties on gold in the proposed national budget for FY2019-20, gold trader's association Bangladesh Jewellers Samity (Bajus) has announced that the price of gold has increased.
According to a Bajus press release issued on Thursday evening, the new rates came into effect yesterday.
As per the latest gold price, rates of 22-, 21-, and 18-carat gold have escalated by a rate of approximately Tk1,666 per bhori each. However, the rates of traditional method and silver per gram have remained unchanged.
Bajus General Secretary Dilip Kumar Agarwal said the price of gold has spiraled as gold rates on the international market have increased – significantly impacting the country's market.
Meanwhile, traders claimed the increased price has no relation to the newly proposed budget.
Prior to this, on January 29, Bajus increased the price of gold by a maximum rate of Tk1,166 per bhori (1 bhori=11.664 gram).
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Consumers now have to pay Tk43,973 per bhori of 18-carat gold, Tk48,959 per bhori of 21-carat gold, and Tk51,322 per bhori of 22-carat gold, as compared to Tk42,807, Tk47,822 and Tk50,155, respectively, on Thursday.
Although the gold price has been increased by Bajus, the government has proposed to reduce the specific duty on the import of gold, to facilitate the situation for travellers bringing in gold bars and jewellery through appropriate channels.
According to the budget speech for the 2019-20 fiscal year, a passenger will be able to bring 11.664 gm—one Bhori, or tola—of gold; after paying duty charges proposed at Tk2,000 from existing Tk3,000 for both unwrought, and semi-manufactured gold.
To import gold bars—up to 234gm—the proposed budget reads that the price should drop from Tk3000 to Tk2000.
Furthermore, the association has fixed the price of platinum for the first time, setting the price for 23-carat platinum at Tk64,152 per bhori.
Meanwhile, the government is allowing jewellers and traders to legalize their gold stocks by June 30, and has issued a gazette notification in this regard. The traders have to pay Tk1,000 per bhori of gold they want to legalize.
The gazette also said diamonds may be legalized by paying Tk6,000 per carat, and silver may be legalized by paying Tk50 per bhori.
The National Board of Revenue has offered the scope for legalization of gold stocks, as it is believed that a large quantity of the precious metal is undeclared for the purposes of tax returns.
Following the government’s offer, traders are organizing a fair for jewellers to legalize the undeclared gold. The three-day fair is scheduled to be held from June 23 to June 25 at Dhaka’s Hotel Inter Continental.
