Buy Gold in Dubai

• Pros:

1. Gold quality/purity

The gold purity or quality is one of the significant reasons why individuals prefer gold investment in Dubai. A considerable portion of Indians and Pakistani people visit Dubai during festivities to buy gold since the quality and purity of gold are way better than what is available in the native countries.

Gold is not only a form of investment to them, but also a sense of sentiment is attached to it. Moreover, Dubai gold market is well-regulated and managed, which makes buying gold in Dubai much safer and better compared to other countries across the world.

2. Price

When visitors and travellers visit Dubai, the difference in the price of gold rate in Dubai vs India is one of the significant factors that entice them to purchase gold. The gold price in Dubai is quite affordable due to lenient taxation and tourism when compared to other parts of the globe. 

Moreover, there is no import duty applied on gold, making it affordable compared to other parts of the world. However, a significant factor to consider when estimating gold price in Dubai vs India is that a VAT of around 5% is applied on gold jewellery.

3. Scope of bargaining

Often people think that there is no scope for bargaining when purchasing gold. However, it is not true when buying gold in Dubai. Though there is no such scope for bargaining over the gold price, customers can bargain on the gold-making charges. Usually, the gold-making charges constitute around 30-50% of the price of the ornament. Due to the extensive range of variety and endless demand, customers can bargain over the making charges.

• Cons:

1. Poor returns on physical gold

If you are planning to sell your physical gold, then it is not at all profitable. This is because of the rate of return. It does not encompass the additional charges that you will pay like the making charges for gold in dubai.

2. No stable source of income

Most people consider the gold purchase as a future investment. However, one must not purchase gold due to this reason. Furthermore, one can purchase and sell gold only once. Moreover, it does not ensure guaranteed stable profits. Therefore, it may be a significant asset but not a great investment option for income.

3. No storage safety

Storing substantial gold is nothing but a security threat. It can’t be stored at home as it is always vulnerable to threats. Moreover, travelling with gold from Dubai to India can be risky. This is why investors or individuals must be extra cautious before buying gold in Dubai.

In India, the Central Board of Indirect Taxes and Customs specify certain limits on how much one can buy from Dubai and import into India. Nonetheless, if you are seeking an answer to this question, saying, ‘how much gold can I buy from Dubai’ and import into India, read along.

On April 1, 2016, the Central Board of Indirect Taxes and Customs declared that any Indian traveller returning to India after a year or more could bring any gold jewellery with them. However, the amount of gold that can be imported from Dubai to India varies on the basis of the passenger’s gender. As per duty-free allowance, a male traveller can carry a maximum of 20gms, which should not cost more than Rs. 50, 000, while a female traveller can carry a maximum of 40gms which should not cost more than Rs. 1 Lakh.

Moreover, children who have stayed abroad for at least a year are eligible for duty-free gold jewellery. Note that the duty free limit is only applicable to gold jewellery. The customs duty fee applies to other kind of gold, such as gold bars, coins and the like.