For millions of Indian expats living in the UAE, travelling home with gold jewellery has long been a stressful experience. That anxiety is now set to ease following a key announcement in India’s Union Budget 2026, which removes the controversial value cap on duty-free gold jewellery.
Under the newly notified Customs Baggage Rules, 2026, Indian-origin women passengers can carry up to 40 grams of gold jewellery and men up to 20 grams, duty-free — regardless of the prevailing gold price. Previously, travellers were bound by value limits that failed to reflect today’s soaring gold rates, often leading to disputes at airports.
Finance Minister Nirmala Sitharaman said the baggage clearance framework required an overhaul to address genuine passenger concerns and align rules with modern travel realities. The updated regulations aim to provide clarity, reduce unnecessary checks and improve the overall travel experience for NRIs.
The Central Board of Indirect Taxes and Customs has issued notifications implementing the change nationwide, with customs offices confirming enforcement from February 2. In addition, the duty-free allowance for other imported goods has been increased from Rs50,000 to Rs75,000.
The reform follows persistent lobbying by Indian community groups in the UAE, who argued that the old value-based system caused confusion and harassment, especially as gold prices have risen sharply since the rules were last updated in 2016.
For expats who have lived abroad for over a year, the new policy means greater certainty, fewer airport delays and the freedom to carry personal jewellery without fear of penalties.
