The Finance Minister in the Union Budget 2012-13, doubled the import duty on standard gold from 2% to 4% and for non-standard gold from 5% to 10%. For unbranded gold jewellery the Finance Minister recommended a 1% excise duty, placing it in the same bracket as branded jewellery. Silver was exempted from any form of tax in the budget.

However, the Central Board of Excise and Customs (CBEC) Chairman S K Goel said: "We have already clarified to all the associations that there is not a case for apprehension. Finance Minister has called a meeting with them. The meeting is likely to take place day-after tomorrow".

All India Gems and Jewellery Trade Federation Chennai Regional Chairman N Anantha Padmanabhan said: "Showrooms across Chennai and Tamil Nadu are also closed from April 4. About Rs 600 to Rs 700 crore business in Chennai alone is likely to be affected during the next six days” reports PTI.