Raising import taxes on gold is a good decision or not? And how?

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Indian finance minister P. Chidambaram suggested on Tuesday that the government is unlikely to raise the import tax on gold further to avoid gold smuggling and would instead introduce inflation-indexed instruments to help curb a record current account deficit (CAD), leaving gold buyers in a fix as to what that would entail. In January India raised the import tax on gold to 6 percent to curb purchases. Is it a good decision or it will affect badly?