After the central government raised import duty on gold from 6% to 15%, the prices of gold at Multi Commodity Exchange of India (MCX) and popular jewellery brands like Kalyan Jewellers and Tanishq saw a significant spike today (Wednesday, May 13, 2026). Prices of many gold exchange traded funds (ETFs) were also up by 5% by 2:22 pm today. The higher customs duty, which has been imposed to curb surging gold imports, may remain high for a year, according to Suvankar Sen, MD, Senco Gold.
In such a scenario, what should current and new gold investors do with their gold investments?
What should you do with your gold investments now?
Prithviraj Kothari, managing director at RiddiSiddhi Bullions Ltd., president of India Bullion and Jewellers Association Ltd. (IBJA), says existing investors should continue holding gold as a strategic hedge against inflation, currency volatility and global uncertainty, especially at a time when geopolitical tensions are driving safe-haven demand globally.
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New investors should practice staggered buying instead of investing the entire money in one large purchase during current market peaks, says Kothari.
Suvankar Sen of Senco Gold says policy changes like customs duty hikes should not trigger panic decisions.
Sen advises existing investors to avoid reacting to short-term volatility and staying focused on their long-term asset allocation goals.
For new investors, Sen says, it is a reminder that gold should be approached as a wealth preservation and diversification tool, rather than only a short-term trading opportunity.
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Sen predicts that while customs duty hikes may increase domestic prices in the near term, the long-term value proposition of gold remains intact.
MCX spot gold price change since May 5, 2026
| Date | Gold price (10 grams) | Price change |
| 13-May-26 | Rs 1,59,944 | +Rs 8,763 |
| 12 May 2026 | Rs 1,51,181 | +Rs 1,174 |
| 11 May 2026 | Rs 1,50,007 | -Rs 512 |
| 08 May 2026 | Rs 1,50,519 | -Rs 161 |
| 07 May 2026 | Rs 1,50,680 | +Rs 312 |
| 06 May 2026 | Rs 1,50,368 | +Rs 3,350 |
| 05 May 2026 | Rs 1,47,018 | — |
MP Ahammad, chairman, Malabar Group, says higher import duties may influence short-term buying patterns and lead consumers to become more value-conscious. India’s underlying affinity towards gold, particularly for weddings, savings and cultural occasions remains fundamentally strong.
Ahammad predicts that the duty revision may lift retail jewellery prices in the near term, and customers, particularly first-time and investment-led buyers, will take a moment to recalibrate.
Dr C Vinod Hayagriv, managing director, C Krishniah Chetty Group, advises gold investors to stay calm and continue buying jewellery.
However, Hayagriv says gold investors should not hoard raw gold bullion bars and instead buy jewellery.
“It is always better to enjoy the jewellery since there are no government restrictions on buying jewellery, and it actually contributes to the economy,” says Hayagriv.
1-day 22k gold price change at leading jewellery brands today
| Jeweller | 22k gold price on May 13 (Rs/gram) | 22k gold price on May 13 (Rs/gram) | Price rise (Rs) |
| Tanishq | Rs 15,435 | Rs 14,160 | Rs 1,275 |
| Joyalukkas | Rs 15,390 | Rs 14,115 | Rs 1,275 |
| Kalyan Jewellers | Rs 15,390 | Rs 14,115 | Rs 1,275 |
| Malabar Gold & Diamonds | Rs 14,890 | Rs 14,115 | Rs 775 |
Which forms of gold investments can be good for new investors?
Sen’s advice for the first-time investor is to choose the gold investment type according to their objective, liquidity needs, and investment horizon.
“Digital and paper gold formats such as gold ETFs and Sovereign Gold Bonds are efficient for investors looking at pure financial exposure without storage concerns. Physical gold jewellery and coins continue to remain relevant for consumers who combine investment with consumption or gifting. Coins, bars, and lightweight jewellery pieces are increasingly preferred among youngsters,” says Sen.
Kothari advises new investors to choose digital gold and Gold ETFs and Sovereign Gold Bonds, which provide safer and more efficient investment options than physical gold.
Kothari also suggests that investors should use gold as a permanent solution for portfolio diversification instead of treating it as a temporary investment.
Gold outlook
Sen predicts that the long-term outlook for gold will remain constructive, supported by its role as a safe-haven asset during periods of uncertainty.
“Global macroeconomic conditions continue to be the biggest drivers of gold prices, including inflation trends, interest rate movements by central banks, geopolitical tensions, currency fluctuations, and global economic growth outlook,” says Sen.
Ahammad says the long-term outlook for the jewellery sector remains positive, supported by India’s strong cultural demand, rising incomes, and continued trust in gold as an important store of value.
