Gold traders now able to meet local demand

KATHMANDU: Gold import through hand carry has been able to fulfil the market demand. Total demand for gold in the market is 21 kilos per day and via hand carry now 20 kilos of gold are being imported. About 300 kilos of gold has been imported through hand carry till date, with the bulk of it imported from Dubai. After the government restriction on gold import, gold importers here with government permission are importing through hand carry.

According to Tej Ratna Shakya, president of Nepal Gold and Silver Dealers’ Association (NEGOSIDA), they are now able to fulfil the internal market demand though the process is expensive for importers.

“Till now about 300 kilos of gold has been imported, which has helped fulfil market demand and has lowered the trading price too,” said Shakya. He said now the trading price is slowly getting back to its normal rate and according to the international prices though the market price will remain slightly high as the hand carry process is in itself expensive.

Talking about giving continuation to the hand carry process for gold import, he said until the government introduces new duty on gold, import will be made through the same process.

“We are hopeful that this New Year we will be able to import gold through normal process with a new duty charge that will be fixed by the government,” he said.

Currently, gold importers are being charged Rs 130 per 10 gram on imported gold.

The government, to control rampant import of gold and avoid shortage of dollars, is planning to increase customs charge on gold import.

As there is restriction on gold import through direct medium, importers here under mutual understanding with the government are currently importing small quantities of gold by hand carry system.