CAD woes: FinMin rules out more import curbs

Despite announcing plans to compress import demand of non essential items earlier this week,the finance ministry on Friday ruled out a hike in duties of such goods as restrictions on imports of gold,silver and platinum would be adequate to contain the current account deficit CAD.

Gold,silver and platinum is what we believe as non-essentials. We have put curbs on that. I dont think we need any more curbs, Arvind Mayaram,secretary,department of economic affairs,told reporters on Friday.

In the third such exercise this year,the government on Tuesday raised the import duty on gold,silver and platinum to 10 per cent. While gold and platinum imports were earlier taxed at 8 per cent,silver imports was taxed at 6 per cent.

The move is aimed at curbing the huge imports of such metals and contain the current account deficit by raising an additional Rs 4,830 crore through the levies.