In value terms, it (gold import) has declined from R1.40 lakh crore to Rs 1.15 lakh crore, the minister said.
Import of gold attracts basic customs duty, which was increased in January, 2012, and again in the Union Budget 2012-13 as the government tried to contain the current account deficit. Gold import had caused trade imbalances and, consequently, a high current account deficit (CAD).Indias CAD stood at 4.2% in 2011-12, 2.7% in 2010-11 and 2.8% in 2009-10, the minister said.
Last year, India imported 969 tonne of gold, which contributed to a record current account deficit of 4.2%. Indias CAD stood at 4.2% in 2011-12, 2.7% in 2010-11 and 2.8% in 2009-10, the minister said.