Thailand will scrutinise "rule of origin" certificates issued to exporters of gold to India over the past year, in a crackdown on rogue traders attempting to avoid import duties.
Earlier this year, India suspended gold jewellery imports from Thailand after officials discovered that the precious metal was being rerouted through the country by traders wanting to take advantage of a tax treaty between India and Thailand.
The India-Thailand free trade agreement allows gold imports to India be taxed at a concessional rate of 1%. But these imports must be backed by certificates or origin, to make sure that the gold originates from a Thai business – not a third country.
This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.