India, May 14 -- Gold prices soared by Rs 8,550 to a little over Rs 1.65 lakh per 10 grams in the local market here on Wednesday after the Government increased the import duty on precious metals to 15 per cent.

Silver prices jumped by Rs 20,500 to Rs 2,97,500 per kg in Delhi markets from Rs 2,77,000 per kg (inclusive of all taxes) on the previous day, according to the All India Sarafa Association.

Gold of 99.9 per cent purity increased by Rs 8,550, or over 5 per cent, to Rs 1,65,350 per 10 grams (inclusive of all taxes) from the previous close of Rs 1,56,800 per 10 grams.

The Government on Wednesday sharply hiked import duty on gold and silver to 15 per cent from 6 per cent earlier to discourage purchase and trim non-essential imports ...