After the launch of India International Bullion Exchange (IIBX) at GIFT City, Gandhinagar on Friday, Indian jewelers are excited as the exchange will enable them to buy gold at international prices, thereby saving huge amount on freight. He also said that the exchange is a step towards ‘one nation one gold rate’ as qualified jewelers and banks will be able to import gold at international price. He said that India is a big consumer of physical gold and international players are expected to bounce on the window opened by the Indian government.
Speaking on the benefits of this new launch India International Bullion Exchange At GIFT City, India Bullion & Jewelers Association (IBJA) National President Prithviraj Kothari said, “The exchange will enable eligible Indian jewelers to reap the benefits of international prices by saving on freight charges. In future, then in that case the lower price paid on gold will be passed on to the buyers.Also, India is a huge consumer of physical gold and hence the single window opened for them for gold exports from international players is expected to bounce. and silver in India. Hence, it is a win-win situation for both domestic and international players of the bullion market.”
Prithviraj said, “Most importantly, jewelers across India are allowed to buy gold at an international price, which is a big step towards one country one gold rate in India. Ahead of the launch of the exchange, jewelers had to Different states had to pay different prices.” Kothari.
On how much profit he expects from the International Bullion Exchange, IBJA’s Prithviraj Kothari said, “Gift City is close to the ports and so I expect Indian jewelers to move around 80-100 million per annum on freight in the initial phase. dollars, which is expected to leapfrog in the next two to three years.” Kothari said the exchange is currently open for gold and silver and base metals may also be available on the exchange in future.
Speaking at the International Bullion Exchange launch, Ahmed MP, President, Malabar Gold & Diamonds said, “There are several advantages of importing gold through IIBX. First, the exchange will bring order and transparency in the gold pricing mechanism. Second, It will also move towards standardization of purity of gold as the exchange will serve as a standard-setting platform for the quality of imported bullion.This way the exchange will eliminate many gray areas in gold trading, especially when it comes to purity. And when it comes to prices.”
Echoing with Prithviraj Kothari of IBJA, Ahmed of Malabar Gold & Diamond said, “Importing gold directly through spot exchange will be beneficial for big jewelers like us and by participating in the exchange we can save good money on margin payments I am sure that by providing an alternative channel to import bullion in an efficient and transparent manner, consumers will be the ultimate beneficiaries as the prices are expected to reach the same point across the country. This will be of great help to jewelers like us. Those who are promoting this concept of one India, one gold rate.”
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