Navigating New ITC(HS) Codes: A Guide to Importing Gold and Silver through IIBX after Recent Amendments

INTRODUCTION

The world of bullion trading in India is highly regulated, and every change in the rules can have substantial impact on importers, qualified jewellers, banks, and all market participants. On June 2, 2025, the International Financial Services Centres Authority (IFSCA) issued a crucial circular announcing amendments to the ITC(HS) Codes for the import of gold and silver through the India International Bullion Exchange (IIBX). These changes reflect updates from the Directorate General of Foreign Trade (DGFT) and the Finance Act, 2025, intended to align import practices and streamline the operational framework for bullion participants in GIFT City and beyond.

This blog examines the latest circular in detail, outlining the key code changes, affected entities, and the practical steps market participants must now adopt.

Gold and silver bars rest on an import-export document adorned with customs stamps and barcodes, highlighting shifts in bullion trade regulations.

Understanding the Background

What are ITC(HS) Codes?

ITC(HS) codes are part of India’s Harmonized System of tariff nomenclature used to track and regulate the import and export of commodities. For bullion transactions, specifying the exact code for gold and silver (bars, grains, etc.) is essential for customs clearance, compliance with DGFT, and adherence to RBI and IFSCA guidelines.

Why This Change?

The Finance Act, 2025 and DGFT’s Notification No. 08/2025-26 updated, deleted, and introduced ITC(HS) codes under Chapter 71 (precious metals) to better align import policies with market realities and regulatory needs. IFSCA adopted these in its operational guidelines to facilitate seamless bullion imports through the IIBX and prevent confusion or non-compliance.

Who is Affected by the Amendments?

· Qualified Jewelers notified by IFSCA for imports via IIBX.

· Indian Banks authorized by RBI for gold/silver imports.

· Vault Managers and depositories in the IFSC (GIFT City).

· Entities with TRQ (Tariff Rate Quota) under India-UAE CEPA.

· All market participants on the Bullion Exchange, including intermediaries and clearing corporations.

Key Amendments to ITC(HS) Codes

For Qualified Jewelers

· Gold Imports:

· References to old code "71081200" are completely removed.

· Import of gold bars now authorized under “71081210”.

· Silver Imports:

· Previous code “71069220” replaced by “71069221” for silver bars.

· "71069110" (earlier code for silver grains) replaced by "71069120".

· Qualified Jewellers can now

· Import silver grains (min. 99.9% purity) under "71069120".

· Import silver bars under "71069221" (import now designated as ‘free’ for all entities, not just Qualified Jewelers, subject to RBI regulations)

For UAE CEPA TRQ Holders

· Import of gold under TRQ must now use "71081210" instead of the earlier code "71081200".

For Indian Banks

· SCC banks now permitted to import via IIBX:

· Gold bars (min. 99.5% purity): "71081210"

· Silver grains (min. 99.9% purity): "71069120"

· Silver bars: "71069221"

Practical Impact: What Should Market Participants Do?

Immediate Implementation: These amendments take effect from June 2, 2025—market participants must immediately update their documentation and practices.

Steps for Stakeholders:

1. Use Correct ITC(HS) Codes: Always declare the updated codes when importing gold and silver through IIBX to ensure regulatory compliance.

2. Review and Update Processes: Modify all internal records, contracts, and import applications to reflect the correct codes as per the circular.

3. Coordinate with Ecosystem Participants: Communicate the changes with banks, vault managers, depositories, and clearing corporations to ensure everyone is using the right codes.

4. Monitor for Future Changes: Stay alert for further notifications from DGFT, RBI, IFSCA, and customs authorities.

   
   

Summary: A Table of Key ITC(HS) Code Changes

Old Code	New Code	Commodity/Description	Eligible Importers
71081200	- (deleted)	Gold bars (code replaced)	-
-	71081210	Gold bars (99.5%+ purity)	Qualified Jewellers, TRQ Holders, Banks
71069220	71069221	Silver bars	Qualified Jewellers, Banks, All Entities
71069110	71069120	Silver grains (99.9%+ purity)	Qualified Jewellers, Banks

Clarification: What Remains Unchanged?

· Only the references and permissions regarding the specific ITC(HS) codes are updated.

· All other provisions from previous circulars and rules continue to apply.

Where to Get Help or More Information

· IFSCA Circular and Legal Notices: Available on the IFSCA website under Legal > Circulars.

· Contact: Department of Metals and Commodities, IFSCAEmail: ramakrishnan.pad@ifsca.gov.inTel: +91 79 61809849

Conclusion

These ITC(HS) code amendments reflect the continued modernization of India’s bullion import regime. For qualified jewellers, banks, vault managers, and TRQ holders, the focus should be on rapid adaptation to the new codes, clear record-keeping, and close coordination with the entire market ecosystem.

By staying compliant and proactive, participants not only avoid regulatory pitfalls but also contribute to the orderly growth of India’s international bullion market through IIBX.