Gold smuggling into India, the world’s second-biggest consumer of the precious metal, is becoming more risky for couriers following a surge in seizures. It’s also less profitable for the gangs behind the trade.
After being caught off guard by a jump in smuggling on the back of a hike in import duty last year, government agencies have stepped up seizures to the extent that couriers are demanding more money to carry in gold, customs intelligence officials and an industry analyst told Reuters.
At the same time, a drop in the gap between local and global prices also means there is less profit to be made by smuggling in gold, giving banks more business
On Thursday, October 16, Chinese gold bullion jumped up 9.3%, landing at CNY 265.00 ($43.15) per gram and making it the day’s biggest increase. Indian gold bullion prices rose 1.4% to INR 27,597 ($450.16) per 10 grams. US gold bullion prices inched up 0.7% to $1,241 per ounce. Japanese gold bullion ended the day at JPY 4,234 ($38.89) per gram, after the 0.5% drop on Thursday.
At JPY 590.00 ($5.42) per 10 grams, Japanese silver fell 1.3% yesterday. The price of Chinese silver is back up, rising by 1.0% yesterday to close at CNY 3,920 ($638.25) per kilogram. The price of Indian silver increased 0.7% to INR 39,563 ($645.35) per kilogram. US silver saw its price rise 0.3% to $17.45 per ounce.
Japanese platinum bar finished the day down 2.0% to JPY 4,317 ($39.65) per gram. The price of US platinum bar declined 0.7% to $1,254 per ounce. Chinese platinum bar prices saw a 0.4% decline to CNY 265.00 ($43.15) per gram.
After improving for two days, the price of US palladium bar declined 3.3% to $762.00 per ounce. Chinese palladium bar closed 1.2% lower at CNY 170.00 ($27.68) per gram. The price of Japanese palladium bar remained steady at JPY 2,742 ($25.19) per gram.