India's government has raised the import duty on gold and silver to 15%, up from 6%, in a move aimed at conserving foreign exchange and addressing macroeconomic stability amid rising global uncertainties, particularly due to ongoing tensions in the Middle East. Suvankar Sen, managing director of Senco Gold, indicated that this elevated duty could persist for about a year, contingent on the stabilization of geopolitical tensions and crude oil prices. The immediate impact is expected to be a 10-15% decline in jewellery volumes, although the overall revenue may remain stable due to high bullion prices, prompting consumers to opt for lighter and lower-carat jewellery. The increase in duties reflects the government's response to external pressures and aims to mitigate risks associated with rising energy costs, which can widen the current account deficit and add inflationary pressure to the economy. This move marks a reversal from previous reductions in import duties made in the 2024-25 Union Budget when external conditions were more favorable.