Ministry proposes higher export tariff on gold

The Ministry of Finance has proposed to increase export tariffs on gold to restrict the export of the metal.

The ministry said it had asked the State Bank of Viet Nam, the Ministry of Industry and Trade and other agencies for advice on the adjustment.

Under the finance ministry’s proposal, export tariffs imposed on gold, including gold plated with platinum and in semi-manufactured forms, will be 20 per cent, equal to the rate imposed on other precious metals.

The National Assembly’s Standing Committee has so far regulated the current export tariff on gold ranging from 0 per cent to 30 per cent. However, the finance ministry has until now been imposing zero tax on gold.

The move is aimed to help restrict gold exports to control the domestic gold market which saw a record high price hike of VND38.2 million (US$1,910) per tael on Tuesday – even exceeding international gold prices which were also at a record high.

The bank on Tuesday allowed commercial banks to import gold after the domestic gold price reached record highs. This was the third time the bank has allowed gold to be imported into the country this year. In August and October, 10 tonnes of gold were imported, which did little to quell the market’s demand for gold.

Bank governor Nguyen Van Giau said this week that many Vietnamese had rushed to buy gold because of expectations that the domestic price would keep rising.

Yesterday, SJC gold was being bought at VND35.67 million ($1,829) and sold at VND35.87 million ($1,839) per tael. Bao Tin Minh Chau meanwhile was traded at VND35.70 million ($1,831) and VND35.90 million ($1,841) per tael. — VNS

Tags: vietnam gold, Vietnam gold imports, Vietnam gold market