Union Commerce Ministry has stated that a major revision in the gold import data for the month of November 2024 was necessitated due to migration of data transmission mechanism from SEZ to ICEGATE, as the system was calculating both imports into SEZ and subsequent clearance into DTA as separate transactions after the migration.

“On noticing unusual surge in imports of precious metals, the Directorate General of Commercial Intelligence and Statistics (DGCI&S) under Ministry of Commerce and Industry has jointly taken up a detailed examination with DG (Systems), CBIC. During the reconciliation exercise, primarily, it was observed that due to migration of data transmission mechanism from SEZ to ICEGATE, figures of precious metals needed revision”, the ministry said in a statement.

The ministry clarified that DGCI&S receives trade data from approximately 500+ locations and about 2.5 lakh transactions every day from different sea ports, land ports, airport and inland container depots. “The EXIM data from more than 100 SEZs was earlier captured by SEZ Online System and EXIM data for all other ports (i.e non-SEZ locations) was captured by ICEGATE system. Both systems (i.e ICEGATE and SEZ Online) were transmitting the EXIM data separately to DGCIS for publishing foreign trade statistics.

However, based on a decision to shift EXIM declarations from SEZ Online to ICEGATE system, the EXIM data pertaining to SEZs as well as all other ports is being captured and transmitted by ICEGATE to DGCIS”, the ministry said. However, owing to persistence of certain technical glitches, the migration is still not complete and both SEZ Online and ICEGATE are still capturing and transmitting mutually exclusive EXIM data to DGCIS, the statement said.

Commenting on the sharp correction in gold import data, Colin Shah, MD, Kama Jewelry and former chairman of Gem & Jewellry Export Promotion Council (GJEPC) said with gold prices witnessing volatility and fluctuations, there is a high chance for the estimates to go haywire, which can be another reason for the correction in the gold import data.

“India is the second largest consumer of gold in the world, after China. Being a country that is fond of gold due to its cultural and sentimental value, the demand remains more or less steady throughout the year,” Shah says.

The Commerce Ministry also points out that internationally, revision and corrections are an inherent part of any statistical procedure. “The quick estimate values are initial estimates and are often systematically amended to reflect more accurate information. Worldwide, official statistics are released and are subject to subsequent corrections and revisions as per available updated and additional information”, the ministry stated.