HS Code:
The Nonmonetary category (HS Code: typically associated with 71 for natural or cultured pearls, precious or semi-precious stones, precious metals, and articles thereof, but assumed here as a placeholder for nonmonetary gold and other precious items) includes items that are not used as legal tender but hold significant value in international trade due to their use in jewelry, industrial applications, and investment. This category often encompasses gold in forms such as bullion, powder, or unwrought, as well as other precious metals and stones, excluding currency or coins used as legal tender. Trade in this category is heavily influenced by global economic conditions, geopolitical stability, and investment demand.
Total Trade Volume
USD 300 billion
Data from 2022
Source
United Nations Comtrade Database
USD 85 billion
28.3% of total trade of total trade
Increasing
USD 50 billion
16.7% of total trade of total trade
Increasing
USD 40 billion
13.3% of total trade of total trade
Stable
USD 35 billion
11.7% of total trade of total trade
Increasing
USD 30 billion
10.0% of total trade of total trade
Stable
Average Rate
5.2%
Highest Rate
12% (applied by certain developing economies to protect domestic industries)
Lowest Rate
0% (under free trade agreements or for investment-grade bullion in select markets)
Rising demand for gold as a safe-haven asset
Increased trade volumes in major financial hubs like Switzerland and UAE due to global economic uncertainty
2022
Growth in industrial use of precious metals
Higher imports of silver and platinum for electronics and automotive industries, particularly in Asia
2021
Shift towards sustainable sourcing
Growing preference for ethically mined or recycled precious metals, influencing trade patterns and certifications
2023
The UAE introduced stricter reporting requirements for gold imports and exports to combat illicit trade and ensure transparency in the nonmonetary gold market.
March 2023
Likely to increase compliance costs but enhance UAE's position as a trusted gold trading hub.
India reduced its basic customs duty on gold imports from 12.5% to 6% to curb smuggling and boost formal trade channels.
July 2023
Expected to increase official imports and reduce illegal trade, impacting global gold trade flows.
Switzerland implemented tighter regulations on precious metal trading to prevent money laundering, requiring detailed provenance data for gold imports.
January 2023
May slow down trade processing times but improve market integrity and trust.