Editor’s Note
This article outlines a significant policy shift in India’s customs regulations, where the valuation of imported gold jewellery for passengers is moving from a monetary cap to a weight-based system. The change, part of the new Baggage Rules 2026, aims to modernise procedures and provide greater clarity for travellers.
In a significant move, the Government of India has introduced the Baggage Rules 2026 to modernise customs procedures and reflect the economic reality of international travel. Announced during Budget 2026 and effective since February 2, 2026, these regulations bring major relief to Indian residents, Non-Resident Indians (NRIs), and tourists of Indian origin.
The overhaul focuses on two key areas. First, it removes the restrictive monetary caps on gold jewellery. Second, it substantially increases the General Duty-Free Allowance (GFA) for imported goods.
The most celebrated change in the 2026 baggage rules is the abolition of value-based limits for jewellery. Under the previous 2016 regime, passengers often exceeded the monetary cap due to gold’s surging price, even if they stayed within the permitted weight limit.
Now, for eligible returning residents and tourists of Indian origin who have stayed abroad for more than one year, duty-free jewellery is governed solely by weight:
Previously, these weight limits were shackled to a value cap of INR 1,00,000 for women and INR 50,000 for men. Given that 24K gold prices on the MCX reached approximately INR 1,53,710 per 10 grams in early February 2026, a nearly 400% increase since 2016, the old value caps had become practically obsolete.
Under the new rules, a female traveller can now carry jewellery worth roughly INR 6 lakh (based on current rates) duty-free, provided it falls within the 40-gram limit.
Recognising that travel shopping patterns have evolved, the government has increased the general duty-free allowance by 50% for most categories. This allowance applies to items brought in bona fide baggage, excluding restricted items like alcohol and tobacco.
Under the New Baggage Rules 2026, the revised duty-free allowances are:
It is important to note that these allowances apply to passengers arriving by air or sea. Those entering India via land borders do not enjoy these general duty-free exemptions, being limited primarily to used personal effects.
A common point of confusion among travellers is whether these rules apply strictly to gold. The Ministry of Finance has clarified that the ‘jewellery’ definition in the 2026 notification covers articles of adornment made of gold, silver, platinum, or other precious metals.
This also includes studded jewellery (ornaments with diamonds or precious stones). However, the weight-based rule applies to the piece’s total weight. The removal of value caps is particularly beneficial for those carrying platinum or high-purity gold, which have seen the most dramatic price appreciation.
To complement the relaxed limits, the Central Board of Indirect Taxes & Customs (CBIC) has introduced a digital-first approach to arrivals. The new Customs Baggage (Declaration and Processing) Regulations, 2026, emphasise electronic clearance to reduce wait times at major airports like Delhi, Mumbai, and Bengaluru.
e-ABD (Electronic Advance Baggage Declaration):
Passengers can now declare dutiable items or high-value goods through a mobile app or the consolidated Air Suvidha platform before landing.
One Laptop Rule:
The rules explicitly allow for the duty-free import of one laptop computer for any passenger over 18 years of age, independent of the INR 75,000 GFA.
Simplified Transfer of Residence:
For those moving back to India after two years or more, the duty-free allowance for household effects has been eased, further simplifying the repatriation process.
While the 2026 rules are significantly more generous, certain restrictions remain in place to prevent commercial exploitation of the baggage window.
Stay Requirement:
The weight-based jewellery allowance is available only to those who have lived abroad for more than 1 year. Frequent flyers on short trips do not qualify for this specific jewellery exemption and must include any new jewellery within their general INR 75,000 limit.
Alcohol and Tobacco:
Limits remain unchanged. Travellers are allowed up to 2 litres of liquor/wine and 100 cigarettes (or 25 cigars/125g tobacco).
Pet Import Policy:
For the first time, the rules explicitly include pets in duty-free baggage under consolidated concessions, though they remain subject to existing animal quarantine regulations.