Clarification on Bullion imports through India International Bullion Exchange(IIBX) at GIFT City

Clarification on Bullion imports through India International Bullion Exchange (IIBX) at GIFT City

OVERVIEW:

• ##### On June 9, 2024, the India International Bullion Exchange (IIBX) issued a new circular detailing significant updates regarding bullion imports.

• ##### This press release aims to provide a clear and comprehensive update on IIBX operations and regulations.

IIBX OPERATIONS:

• ##### The India International Bullion Exchange (IIBX) is a market infrastructure institution that is registered and regulated by the International Financial Services Centres Authority (IFSCA) at GIFT-IFSC.

• ##### IIBX operates a transparent trading platform that adheres to global best practices.

• ##### This platform ensures a visible and transparent pricing ecosystem where both current and historical prices are accessible on the IIBX website

WHO CAN LEVERAGE THE IIBX PLATFORM?

• ##### Qualified Jewellers: As designated by IFSCA, these jewellers can utilize IIBX for importing gold and silver. Specific guidelines and criteria define who qualifies as a "Qualified Jeweller" under IFSCA regulations.

• ##### TRQ Holders: Entities holding valid Tariff Rate Quotas (TRQs) established under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) are eligible to import gold through IIBX, subject to IFSCA's notification.

CEPA FREE TRADE AGREEMENT:

• ##### The Directorate General of Foreign Trade (DGFT) has permitted the import of gold by valid Tariff Rate Quota (TRQ) holders under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) through IIBX, as notified by IFSCA.

• ##### Under the India-UAE CEPA Free Trade Agreement, the import of gold and silver at stipulated customs duty rates is permitted through various customs ports in the country, including the GIFT City port.

• ##### This agreement allows for reduced customs duties, benefiting importers by lowering the overall cost of imported bullion.

CURRENT STATISTICS:

• ##### Onboarded Entities: As of now, IIBX has onboarded a total of 129 Qualified Jewellers and 227 TRQ holders from 19 states across India.

• ##### Active Importers: Out of the onboarded entities, 93 Qualified Jewellers and TRQ holders have actively imported gold and silver through IIBX.

CONCLUSION:

• ##### With comprehensive guidelines, robust infrastructure, and plans for further expansion, IIBX ensures streamlined and secure bullion importation across India.

• ##### Qualified Jewellers and TRQ holders benefit from a structured, fair, and accessible trading environment, enhancing the overall efficiency of India's bullion market.

• ##### The benefits of the India-UAE CEPA Free Trade Agreement, coupled with IIBX’s streamlined processes, further enhance the appeal for importers.

• ##### Overall, IIBX plays a pivotal role in enhancing the efficiency, transparency, and security of India's bullion market, supporting the needs of importers nationwide.