Customs checks fail to curb duty free import of gold coins from South Korea

Already 12-13 tons of gold is understood to have arrived so far from Korea since July

The customs department is seeking a bank guarantee equivalent to the normal 10 per cent import duty for shipments of gold coin from South Korea but it has had no effect on the flow.

As already reported, these imports have recently ballooned, exploiting a loophole in the free trade agreement (FTA) signed with that country. After July, another 12-13 tonnes is understood to have arrived so far from Korea. The imports are at zero duty and those doing it prefer to also give the bank guarantee asked, say sources, besides any other information the Customs might ask.

Sources aver the way importers