The Indian bullion industry is pushing for a comprehensive plan to leverage the nation's vast gold reserves, estimated at over 30,000 tonnes held by households, to reduce reliance on imports. With gold imports reaching $71.9 billion in 2025-26, the industry proposes several measures to recycle household gold and restrict its end-use to jewellery exports. Key proposals include a gold metal loan (GML) program that would allow jewellery exporters to access loans against imported gold, and tax reforms to incentivize gold deposits by reducing the GST burden on conversions from physical gold to electronic gold receipts (EGR).

Industry leaders emphasize the need for a bankable mechanism that integrates gold deposits and loans, minimizing risks from price fluctuations. Rajesh Rokde, chairman of the All India Gem and Jewellery Domestic Council (GJC), noted that many families hold gold expecting price increases, and tapping into this resource could significantly lower imports. The PMRF has suggested a one-year GML for jewellery exporters and interest rates of 2-2.5% for depositors. Discussions between the Indian Bullion and Jewellers Association (IBJA) and the Reserve Bank of India (RBI) have highlighted the importance of jeweller involvement in these schemes, as past initiatives have struggled without their participation.