Page 46 - Bullion World Volume 03 Issue 07 July 2022

Bullion World | Volume 2 | Issue 07 | July 2022

India can be a Competitive Gold Refining Hub: WGC
Nearly 468 tonnes of old gold have been used in the last
five years to partly meet India's domestic consumption of
about 850 tonnes annually, according to a report by the
WGC. Upward movements in the gold price, particularly
in the last two Covid years, had led people to offload old
gold in the market. The WGC launched a report titled
'Gold refining and recycling, ‘highlighting that amid India's
growing demand for gold, recycling would continue to be
crucial, and the refining industry would witness steady
development.
Source: https://economictimes.indiatimes.com

GST council to consider making e-way bill mandatory
for gold, precious stones
The GST Council will likely consider making an e-way
bill mandatory for intra-state movement of gold or
precious stones worth ₹2 lakh and above and e-invoicing
mandatory for certain B2B transactions. The panel
suggested that e-invoicing should be mandatory for B2B
transactions by all taxpayers supplying gold/precious
stones and having an annual aggregate turnover above
₹20 crores. The panel also suggested that an officers
committee from both the Centre and States examine the
levy of GST on a reverse charge mechanism (RCM) basis
on purchasing old gold by registered dealers/jewelers
from unregistered persons. Businesses with a turnover
of over ₹50 crores have to generate e-invoices for B2B
transactions mandatorily. However, the condition does not
apply to gold and precious stones.
Source: https://www.thehindubusinessline.com/

Sovereign Gold Bonds Witnessed Record Inflows in FY22
The demand for gold as a medium of investment has surged
significantly over the past couple of years. This is evident from the
recently released data, which suggests increased investments in
sovereign gold bonds (SGBs) and gold exchange-traded funds
(ETFs). Traditionally, gold is considered a hedge against stock
market volatility. However, the relatively stable stock markets
made many investors park their money in equity and equity-
related assets. The dip in prices of gold also made investors shy
away from it. However, with the advent of the Covid-19 pandemic,
the stock markets became volatile again. The pandemic-related
uncertainties and geopolitical tensions pushed up gold prices,
thus making it a preferred investment choice.
Source: https://www.scrapmonster.com/

46