(REUTERS) -- India's Titan Industries, a jewellery maker promoted by the Tata group, has got approval from the government to directly import gold, its key raw material, said a government official, a move which will help the company save its operating costs.
Shares of Titan Industries closed at 6.23 percent higher at 242.8 rupees on the National Stock Exchange.
They (the company) can plan their own procurement and not depend on anybody, said Nayan Pansare, a director with Yes Jewellery, who also advises jewellery companies.
We will allow anybody (private party) who is an actual user, but won't allow anybody to import just for trading purpose, said Anup K. Pujari, India's director general of foreign trade, told Reuters.
India, the world's biggest buyer of bullion, allows authorised agencies and state-owned companies like MMTC to import gold.
Rajesh Exports, which exports jewellery is among the private firms that are given permission to import gold.
At 13:32 GMT on Monday, the most-active gold for April delivery on the Multi Commodity Exchange (MCX) quoted 0.4 percent lower at 27,905 Indian rupees ($547.7) per 10 grams.
India imports majority of its 900 tonnes of gold requirements.