“Following the Indian government’s decision to discourage gold import by imposing 8% duties, buyers have reportedly shifted to Pakistan where the precious metal is allowed to be imported duty free since 2001. An official handout by Pakistan’s Economic Coordination Committee (ECC) of the Cabinet, headed by Finance Minister Ishaq Dar, has noted that there have been serious apprehensions that the duty free import of gold is being abused by unscrupulous elements.”
http://www.mineweb.com/mineweb/content/en/mineweb-political-economy?oid=199685&sn=Detail
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