Gold prices fall for 4th day in a row, down ₹2,000 per 10 grams

New Delhi: Gold prices in India fell for the fourth day in a row on Thursday after the government slashed the customs duty on the metal in the Union Budget.

Gold futures on MCX slumped by ₹2,000 per 10 grams in four days to ₹47,400. Silver prices also fell by more than ₹6,500 since the Budget to ₹67,840 per kilogram.

The government proposed to reduce import duties on gold and silver to 7.5% from 12.5% now. But a farm cess of 2.5% will be added to customs duty. So the net reduction in both gold and silver will be 2.5 percentage points even after adding the farm cess. It means gold is set to become cheaper by nearly Rs 1,200 per 10 gram while silver prices will come down by Rs 1,750 per kg due to the duty cut.