Jewellery shares gain after government fixes GST rate; Titan at new high

Titan Company, PC Jeweller, Gitanjali Gems and TBZ were up more than 4%

Shares of jewellery companies rallied by up to 15% on BSE in early morning trade after the Goods and Services Tax (GST) Council fixes GST rate at 3% for gold, gems and jewellery.

At 9:28 am, Titan Company, PC Jeweller, Gitanjali Gems, Tribhovandas Bhimji Zaveri (TBZ), Tara Jewels, Thangamayil Jewellery and Renaissance Jewellery were up more than 2% each, as compared to 0.20% decline in the S&P BSE Sensex.

“Currently, gold jewellers pay one per cent excise and 1.2% value-added tax (VAT) over and above the 10% customs duty on bullion. This effectively works out to 12.43%. With