Shopping Cart
There are no more items in your cart
People are leaning more towards gold coins and gold bars instead of gold jewellery because after the import duty increase, customers have become much more price-sensitive and investment-focused.
India recently increased gold import duty from 6% to 15%, effective around May 13, 2026. The new structure is reported as 10% Basic Customs Duty + 5% AIDC, and it applies not only to gold but also to related precious metal products.
Main reason: jewellery has extra cost; coins and bars are closer to pure gold value
When someone buys gold jewellery, they do not pay only for gold. They also pay:
Making charges
Wastage
Design premium
Stone / enamel / fancy work cost
GST on gold value
GST on making charges
Lower resale value due to deductions
But when someone buys a gold coin or gold bar, the buyer feels they are paying mainly for the metal value plus a relatively smaller premium.
So after the duty hike, the mindset has become:
“If gold has already become expensive, why should I pay extra making charges also?”
That is the biggest behavioural shift.
Simple example
Suppose a customer wants to buy gold worth ₹1,00,000.
In jewellery, the final cost may include:
Gold value: ₹1,00,000
Making charges: 8% to 20% or more depending on design
GST on gold: 3%
GST on making charges: 5%
Wastage / design premium: possible extra
So the customer may end up paying ₹1,12,000 to ₹1,25,000 or more for jewellery whose immediate resale value may be lower.
In coins or bars, the cost is much cleaner:
Gold value
Small premium
GST
Brand / packing premium, if applicable
This makes gold coins and bars feel more transparent and investment-friendly.
Why this shift is stronger after duty increase
1. Gold jewellery has become psychologically “too expensive”
When gold prices rise and import duty also increases, customers start calculating more carefully. Jewellery becomes a luxury purchase, while coins and bars feel like an investment purchase.
So a buyer who earlier thought, “Let me buy a chain or bangle,” may now think, “Let me buy a 10g coin or bar instead. At least most of my money remains in gold.”
2. Coins and bars have better resale clarity
Gold coins and bars are usually easier to value because the weight and purity are clearly mentioned. For investment buyers, this matters.
Jewellery resale often involves deductions for making charges, stones, design, wear and purity testing. A customer knows that making charges paid during purchase may not come back during resale.
3. Buyers are shifting from consumption to preservation
Recent high prices and duty changes have made gold buyers more cautious. Globally too, physical investment in gold is expected to become stronger as jewellery demand weakens because of high prices. Reuters reported that Metals Focus expects physical investment to rise while jewellery consumption declines.
This means people are not necessarily losing interest in gold. They are changing the form of gold they prefer.
4. Coins and bars are better for flexible buying
Not everyone wants to buy heavy jewellery at high prices. Coins and bars allow customers to buy in smaller, planned quantities such as 1g, 2g, 5g, 10g, 20g, 50g or 100g.
This suits customers who want to accumulate gold slowly.
5. Jewellery buying is occasion-led; coins and bars are investment-led
Jewellery is usually bought for weddings, festivals, family functions or personal use. Coins and bars can be bought anytime when a customer wants to save or invest.
After duty increase, non-urgent jewellery purchases may get postponed, but investment buying can continue in smaller denominations.
6. Customers are more aware of purity
Many buyers now prefer 24K / 999.9 purity gold coins and bars because they want maximum gold content. Jewellery is commonly 22K or 18K, depending on design.
So for a customer asking, “Where will my money stay closest to pure gold?”, coins and bars become the natural answer.
7. Old jewellery exchange is increasing
High gold prices are also pushing customers to exchange old jewellery instead of buying fresh jewellery with full cash payment. Recent reports show old jewellery exchange has increased sharply, as buyers use existing gold to fund new purchases.
This also means fresh jewellery demand is under pressure, while investment-style buying in coins and bars remains attractive.
For CoinBazaar, this is an important opportunity.
“Buy gold in its smarter form — coins and bars with purity, transparency and better value retention.”
- A smarter alternative to jewellery
- A transparent way to accumulate gold
- A better option for investment and gifting
- A practical choice during high gold prices
- A product with lower non-recoverable cost compared to jewellery
- A pure-value purchase rather than a fashion purchase
With gold prices and import duty rising, smart buyers are choosing gold coins and gold bars over jewellery because they get more pure gold value, lower making-cost burden, better resale clarity and greater flexibility. Jewellery is beautiful for wearing, but coins and bars are better when your goal is savings, investment and long-term value.
Final remark
Gold jewellery will never disappear in India because it has emotional, cultural and wedding value. But after the import duty increase and high gold prices, many practical buyers are asking a simple question:
“Do I want to pay for design, making and wastage — or do I want to hold maximum gold value?”
For investment-minded customers, the answer is increasingly becoming: gold coins and gold bars.