India Restricts Silver Imports Till March 31, 2026

On 24 September 2025, the Indian government announced a major policy shift by restricting silver and unstudded jewellery imports until March 31, 2026. This move comes in response to a significant surge in imports, especially from Thailand, raising concerns about possible duty circumvention under the ASEAN-India Trade in Goods Agreement (AITIGA). The Directorate General of Foreign Trade (DGFT) issued a notification revising the import policy for these items from ‘Free’ to ‘Restricted’, requiring importers to now obtain a government license for bringing in the affected goods.

Key Highlights of the Policy Change

Products Affected,

• Articles of jewellery
• Parts of precious metal of silver
• Unstudded and other silver jewellery
• New Status: From Free to Restricted
• Effective Until: March 31, 2026

Reason for Action

• Surge in silver imports (up to 40 metric tonnes) from Thailand
• 98% of imports were Thailand-origin
• Thailand is not a silver-producing country, suggesting possible misuse of zero-duty privileges under AITIGA

What is AITIGA?

• ASEAN-India Trade in Goods Agreement (AITIGA) is a Free Trade Agreement signed in 2009 between India and ASEAN (10 member countries) including Thailand, Singapore, Vietnam, and others.
• It allows for reduced or zero tariffs on selected goods. However, loopholes in such agreements can sometimes lead to duty evasion through trans-shipment or misdeclaration, which this new policy aims to curb.

Regulatory Implications

• Importers must now apply for licenses from DGFT to bring in the restricted silver products.
• The move allows Indian customs authorities to closely monitor the inflow of silver, improving revenue compliance and discouraging misuse of free trade norms.

Additional Update: Rice Export Policy

• In a separate notification, DGFT also amended the export policy for non-basmati rice.
• Exports are now allowed only after contract registration with the Agricultural and Processed Food Products Export Development Authority (APEDA).

Key Facts

• India’s non-basmati rice exports rose 6.4% YoY, reaching $4.7 billion during April–August FY26.
• The move aims to monitor outbound shipments, avoid domestic price spikes, and ensure food security.

Static Data

• DGFT: Directorate General of Foreign Trade, under the Ministry of Commerce and Industry
• AITIGA Signed: 2009
• ASEAN Members: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam
• Import Categories: Free, Restricted, Prohibited
• APEDA: Nodal agency under Ministry of Commerce, oversees agri-export promotion