Silver Linings Or Speed Breaker? India Puts Curbs On Certain Silver Imports

Ashik Bothra - Mumbai Bureau May 16, 2026 5,750 Views

India has tightened import rules for specific silver products, moving them from the “free” to “restricted” category via a fresh government notification. Importers of certain silver jewellery and related articles will now need prior authorisation, as New Delhi steps up scrutiny of precious metal inflows and suspected misuse of trade agreements.

New Curbs On Silver Imports

The Directorate General of Foreign Trade (DGFT) has revised the import policy for designated silver products, especially select jewellery items and articles, from “free” to “restricted”. This means importers can no longer bring in these items freely and must obtain government approval before shipments are cleared.

The restrictions apply till mid-2026 in most cases and are aimed at checking a surge in low-cost silver jewellery imports, particularly from ASEAN countries. Officials say some traders were routing silver and jewellery through FTA partner nations to exploit duty differentials and avoid higher tariffs.

Why The Government Is Acting Now

Policy makers have been increasingly concerned about a rise in imports of plain and diamond‑studded silver jewellery that appeared out of line with domestic demand. Surveys and data analysis by DGFT suggested possible circumvention of rules of origin and misuse of free trade agreements.

By tightening import norms, the government is trying to achieve three goals at once: curb loophole‑driven inflows, protect domestic manufacturers and artisans from cheap imports, and safeguard customs revenue. The latest move also follows earlier curbs on gold and platinum jewellery, signalling a broader push to regulate precious metal inflows more tightly.

Silver Trade Watchpoints

Silver Import Policy Highlights

Import of certain silver jewellery and articles moved from “free” to “restricted” category.
DGFT notification makes prior government authorisation mandatory for specified silver imports.
Curbs apply largely till June 30, 2026, in line with the notified validity period.
Measures target rising inflows from ASEAN countries and suspected FTA misuse.
Objective is to protect domestic silver jewellery manufacturers and plug duty‑evasion routes.