Goldiam International on Wednesday clarified that the recent increase in customs duty on gold to 15% will not have any material impact on the company’s operations, financial performance or profitability.
In an exchange filing, the company said the revised duty structure — comprising 10% Basic Customs Duty (BCD) and 5% cess — is not expected to negatively affect its business due to the benefits available to its export-oriented operations.
The clarification comes after the Government of India notified an increase in customs duty on gold imports, effective from midnight, as part of broader measures aimed at managing imports and encouraging domestic economic priorities. The move triggered sharp reactions across jewellery and gold-related stocks earlier this week, with investors assessing the potential impact of higher gold prices and demand moderation.
Goldiam International stated that it operates from the Special Economic Zone (SEZ) at SEEPZ and continues to avail customs duty exemptions and benefits applicable to SEZ units under prevailing regulations and government policies.
“Accordingly, the aforesaid increase in Customs Duty on gold is not expected to have any negative impact on the business operations of the Company,” the company said in its filing.
The clarification is significant as several jewellery companies and retailers are expected to face pressure from higher gold prices following the duty hike. Analysts believe increased import costs could impact consumer demand, particularly in price-sensitive segments, while also affecting working capital requirements for jewellers.
However, export-oriented players operating under SEZ structures may remain relatively insulated due to duty exemption mechanisms available under existing policy frameworks.
Goldiam International is primarily engaged in the manufacturing and export of diamond jewellery, including lab-grown diamond jewellery, catering largely to international markets. The company has been expanding its focus on lab-grown diamonds amid rising global demand and improving adoption trends.
Recently, the company also announced export orders worth ₹60 crore for manufacturing and export of lab-grown diamond jewellery from international clients in the United States. The orders are expected to be executed by August 30, 2026.
Meanwhile, the broader jewellery sector is expected to remain in focus as markets continue to assess the implications of the government’s latest customs duty revision on gold imports.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice.