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Indias Gold Rush: Its Impact and Sustainability
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Contents
I. Introduction
II. Evolution of Gold Policy
III. How big are Indias Gold Imports?
IV. High Levels of Gold Imports, Is it Sustainable??
V. Issue
VI. Possible Way Out
VII. Appendix
Karat Bars InternationalVIII.
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Executive Summary
India imports most of its gold requirement. Gold as a commodity
on its own does not add much
to the productive capacity of the economy. Moreover, the foreign
exchange reserve that is used
to import gold reduces the availability of this resource to
finance the import of other
commodities. Such high value of gold imports has now started
hurting Indias current account
position.
Golds share in total import bill of the country has gone up from
8.1 per cent in 2001-
02 to 9.6 per cent in 2010-11.
Annual Rate of Gold Imports growth in the last three years was
very high. In 2008-09
the growth was 23.0 percent, in 2009-10 it was 38.1 per cent and
in 2010-11 the
recorded growth stood at 18.3 per cent. Thus the average rate of
growth during this
period was 26.8 percent. Although the global financial
conditions prevailing during
this period were volatile yet such high levels of gold imports
indicates Indias
obsession with gold.
ASSOCHAM projections for gold imports suggest that:
The projected Gold Import figures under two different conditions
would be:
Scenario 1- Gold import bill would be US $ 100 billion by
2015-16
Scenario 2 - Gold import should reach US $ 65.4 billion in
2015-16
In terms of percentage share of gold and silver combined were
the 2nd most imported
commodity in 2010-11. Whereas comparatively the import share of
other key
industrial raw materials such as Coal, Coke, Iron and Steel is
much lower in the total
import bill of the country.
India accounts for nearly one-third of the total world demand
for gold.
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Indian consumer demand for gold is 37.6 per cent more than that
of China.
Whereas in terms of GDP, Indias GDP is just 27.7 percent of
China and a meager
11.0 percent of USA.
Indias forex reserves are 8.81 percent of Chinas forex reserves
yet its gold demand
is more than that of China by 37.6 percent.
Indias gold imports were higher than the twelve states GSDP in
the year 2010-11.
Gold import value for the year 2010-11 was higher than the
budget estimated
expenditure on Urban Development, Housing, Family Welfare for
the year 2010-11
Thus there is an urgent need to encourage the substitution of
gold purchases with alternatives in
the formal financial sector which shall also help in increasing
the productive capacity of the
economy.
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I. Introduction
In much of Asia, the Middle East, and the Indian subcontinent,
gold is the best possible
protection against upheaval, both political and economic. For
men and women throughout the
developing world, gold is still one of the most liquid and
widely accepted forms of exchange,
quite simply the most efficient store of value they possess.
As we know that Indias domestic production of gold is very
limited, the rising demand has to be
sourced from outside the country. Moreover, Gold as a commodity
on its own does not add much
to the productive capacity of the economy. When one buys gold,
it either is stored in lockers or
gets converted into jewellery. In both the cases, money spent on
purchasing gold gets blocked
since gold is not a productive asset.
There are certain qualities of gold that make it a desirable
investment option. Some of these
being:
The ability of gold to insure against instability and protect
against risk.
Has universal acceptance.
Provides liquidity.
Deep cultural affinity with gold purchase
ref. Karatbars International
A look at the Indian import figures for gold over the period
2001-02 to 2010-11 suggests that:
Golds share in total import bill of the country has gone up from
8.1 per cent in 2001-02
to 9.6 per cent in 2010-11.
In value terms, it has risen from US $ 4170.4 million in 2001-02
to US $ 33875.7 million
in 2010-11.
A growth rate of 63.5 percent is witnessed for the period
2008-09 to 2010-11.
(Please refer to Table 1)
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Table 1 Gold Imports - US Dollars (US $
million) Year Gold Import Total Import
Percentage Share
2001-02 4170.4 51413.3 8.1 2002-03 3844.9 61412.1 6.3 2003-04
6516.9 78149.1 8.3 2004-05 10537.7 111517.4 9.4 2005-06 10830.5
149166 7.3 2006-07 14461.9 185735.2 7.8 2007-08 16723.6 251439.2
6.7 2008-09 20725.6 298833.9 6.9 2009-10 28640.1 288372.9 9.9
2010-11 33875.8 352574.9 9.6
Source: RBI Data for 2009-10 are revised Data for 2010-11 are
provisional
A look at the top ten import commodities for India over a period
of ten years suggests that:
The percentage share of gold and silver combined has risen from
the 3rd most imported
commodity in 2000-01 to the 2nd most imported commodity in
2010-11 behind only crude
oil.
Whereas comparatively the import share of other key industrial
raw materials such as
Coal, Coke, Iron and Steel is much lower in the total import
bill of the country.
(Please refer to Table 2)
Table 2 Top Ten Import Commodities India (Percentage Share)
2000-01 2010-11 Commodity Share Commodity Share Petroleum, Crude
and Products 31.0 Petroleum, Crude and Products 30.1 Pearls,
Precious and Semi-Precious Stones 9.5 Gold and Silver 10.1
Gold and Silver 9.2 Pearls, Precious and Semi-Precious Stones
8.9
Electronic Goods 6.9 Machinery except Electrical and Electronic
6.6
Machinery except Electrical and Electronic 5.4 Electronic Goods
6.1 Organic and Inorganic Chemicals 4.8 Organic and Inorganic
Chemicals 4.2
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Coal, Coke and Briquettes, etc. 2.2 Transport Equipment 3.1
Professional, Scientific Controlling
Instruments, Photographic Optical
Goods 1.7 Iron and Steel 2.9
Iron and Steel 1.5 Coal, Coke and Briquettes, etc. 2.7
Metal ferrous Ores, Metal Scrap, etc. 1.5
Metal ferrous Ores, Metal Scrap,
etc. 2.7 ASSOCHAM Calculation
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II. Evolution of Gold Policy
A. Pre Liberalization
The gold policy until economic reforms in the early 1990s
centred around the major objectives of
discouraging people from purchasing gold, reducing domestic
demand, regulating supply of
gold, , curbing smuggling and black income and conserving
foreign exchange.
Some of the important characteristics of the gold policy that
had been adopted over the years by
the government until the liberalization process were1:
Bullion imports and exports were banned under the Foreign
Exchange Regulation Act,
1947. The proportional reserve system was replaced by the
minimum reserve system, for
purposes of note issue.
In a major effort to mobilise the vast gold reserves in the
country, an issue of 15-year
Gold Bonds at 6.5 per cent was made in November 1962. The bonds
were issued in
exchange for gold, gold coin, and gold ornaments. Subscriptions
to these bonds totaled
16.30 tonnes. Forward trading in gold was banned in November
1962.
The diversion of savings into the bullion market was sought to
be controlled by the
promulgation of the Gold Control Rules in January 1963. The
Rules prohibited
manufacturing of gold ornaments of more than 14 carat purity.
Individual gold holdings
had to be declared. In July 1963, refineries were prohibited
from manufacturing gold of
more than 14 carat purity. Control over internal trade and
distribution of gold by the
Government was fully established in 1964.
A second attempt to garner gold was made in March, 1965 when a
new series of 7 per
cent Gold Bonds 1980 was issued. Opportunity was given to
holders of unaccounted
money to convert them into these bonds. The quantity raised was
6.1 tonnes.
1 Gold in the Indian Economic System by Dr.Y.V.Reddy, at the
Gold Economic Conference organised by the World
Gold Council at New Delhi on November 28, 1996.
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A third series of gold bonds designated as National Defence Gold
Bonds, 1980 at 6.5 per
cent was issued in October 1965. Unlike the earlier two issues,
which were repayable in
Rupees (the value of gold being calculated at international
prices) these bonds
were redeemable in gold of standard purity at maturity. The
quantity raised was 13.7
tonnes.
Strict gold control remained in force till November 1966, when
the rules were
amended, lifting the ban on the manufacture of ornaments of more
than 14 carat purity.
The amendments also placed ceilings on individual holdings and
extended control over
refineries and dealers. In September 1968, the Gold (Control)
Act 1968, was passed
establishing the scheme of gold control on a permanent statutory
footing. Except for
some minor modifications incorporated in the Act in 1969, 1972
and 1973, the structure
of the Act did not undergo any change.
The Voluntary Disclosure of Income and Wealth (Amendment)
Ordinance, 1975 granted
immunity from confiscation, penalty and prosecution under the
Gold Control Act, 1968,
to all disclosures of wealth and income in the form of gold
within the stipulated period.
There was a major shift in policy by the Central Government as
reflected in the 1978-79
budget which strongly disapproved of smuggling operations,
considered to be a
consequence of the differential between the domestic and
international gold prices. The
Government that year undertook gold auctions, which was
construed as an anti-
inflationary measure of raising resources to bridge the budget
deficit which then was
around Rs.1,050 crore. It was also felt that sale of gold from
stocks held by the
Government would curb smuggling to some extent. The Reserve Bank
of India was
chosen as the Governments agent in the sales operation. However,
these auctions came
in for criticism as it was concluded that this was not a
practical proposition to either
check smuggling or contain domestic prices. The Government thus
discontinued the
official auctions in October 1978.
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B. Post Liberalization
During the early nineties a period when the Indian economy faced
a severe Balance of payment
crisis there has been a shift in the approach of the gold
policy. The restrictive policies made way
for a more a liberalised gold market. The role of a liberalized
and developed gold market was in
the interest of consumers had been realised and efforts were
made to integrate the gold market
with financial markets. Some of the key highlights of gold
policy post liberalization are2:
In 1990 an amendment to RBI act was made, marking gold to market
at regular intervals,
Gold control Act (1968) repealed.
In 1993 provisions of FERA (1973) repealed.
In 1997 a committee on Capital Account Convertibility (CCA) by
RBI was established.
This committee made following observations :
1) Gold related issues linked to Capital Account
Convertibility
2) Liberalizing policy regime on gold
3) Develop transparent and well regulated market on Gold
4) Introduction of Forward trading and gold derivatives in
India
RBI established criteria authorizing commercial banks to
nominate a few state enterprises
like MMTC as nominated agencies for importing Gold.
In 1999 RBI allowed commercial banks to accept interest bearing
gold term deposits
against gold
2 Report on Gold NATIONAL MULTICOMMODITY EXCHANGE OF INDIA
LIMITED
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III. How Big are Indias Gold Imports?
A. Global Scenario
In order to provide a more global picture of the size of gold
imports and whether as to Indias
obsession with gold is justifiable the study looks at the gold
demand alongside some other key
economic variables.
(i) Gold Consumption and Size of the Economy
As per a consumer demand report by the World Gold Council3 the
consumer demand figures
in selected countries suggests:
India accounts for nearly one-third of the total world demand
for gold.
Indian consumer demand for gold is 37.6 per cent more than that
of China.
Another major economy of the world USA does not even come close
to the levels of
consumer demand that are being witnessed in India, with consumer
demand for USA
being reported at 213.5 tonne.
Moreover if we look at the demand for gold alongside the size of
these major economies we see
that:
Indias GDP is no where closer to that of China and USA.
In terms of percentage share Indias GDP is 27.7 percent of China
and a meager 11.0
percent of USA.
(Please refer to Table 3)
3 Gold Demand Trends Third Quarter 2011 , World Gold Council
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Table 3
Consumers Gold Demand vis--vis GDP
Consumer demand in selected countries
12 month ended Q3'11* ( Tonnes)
GDP 2010-11
(US $ Trillion)
Jewellery Total bar
and coin
invest
Total
India 649.9 409.1 1059 1.6
China 508.9 260.8 769.7 5.9
Russia 70 - 70 1.5
USA 119.3 94.2 213.5 14.8
UK 25.2 - 25.2 2.2
World Total 2018.2 1409.2 3427.4 Source: Consumer Demand Figures
taken from Gold Demand Trends Third Quarter 2011, World Gold
Council, figures are provisional
GDP figures taken from UNCTAD, GDP figures for 2010-11 are
provisional
(ii) Forex reserves comparison
A look at the forex reserves of some of the countries shows
that:
Indias forex reserves are 8.81 percent of Chinas forex reserves
yet its gold
demand is more than that of China by 37.6 percent.
Please refer to table 4
Table 4
Foreign Exchange Reserves (US$ Billion)
Country Q3 2011
Brazil 348.0
China 3,223.0
India 283.8
Russia 472.5
United Kingdom 78.9
United States 137.4 Source: World Gold Council
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(iii) Gold as % of Forex Reserves
Inspite of India being the largest importer of Gold in the
world, its share in total reserves of the
country is lower than that of USA and UK.
Please refer to Table 5
Table 5
Gold as a percentage of Total Reserves
Country Q3 2011
Brazil 0.501
China 1.675
India 9.285
Russia 8.581
United Kingdom 16.991
United States 75.503 Source: World Gold Council
Therefore a look at the various economic parameters brings to
surface the fact:
That India is the leader in terms of Gold Demand however it lags
behind other major
economies in terms of other key economic variables.
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B. Domestic Scenario Gold Imports Vs Amartya Sens Priorities
As per a Gold Council Report4 focusing on Indian Gold
consumption indicates that Gold
jewellery accounted for around 75 per cent of total Indian gold
demand in 2009, the remainder
being investment (23 per cent) and decorative and industrial use
(2 per cent).
However looking at the larger picture we all are well aware
about the extent of poverty, illiteracy
and the lack of social infrastructure that exists in India.
Even, the Planning Commission in its
Approach to the 12th
Five Year Plan has laid emphasis on an inclusive model of
growth.
Ideally, inclusive growth should result in lower incidence of
poverty, broad based and significant
improvement in health outcomes, universal access for children to
school, increased access to
higher education and improved standards of education, including
skill development. It should
also be reflected in improvement in provision of basic amenities
like water, electricity, roads,
sanitation and housing.
Even, the noted economist Amartya Sen has acknowledged the
importance of a holistic growth
and advocated the thought that human development, as an approach
needs to be the basic
development idea thereby suggesting that it is advancing the
richness of human life, rather than
the richness of the economy in which human beings live.
In view of this the study next tries to assess the size of
Indian gold imports for the year 2010-11
against two parameters:
1) State GDPs
2) Some of the key development and non-development expenditures
of the Central and State
Governments
Comparison of size of State GDPs and Gold Imports
We can see from the figures for the year 2010-11 that Indias
gold imports were
higher than the GDP figures recorded for 12 states.
4 India: heart of gold Revival, World Gold Council
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Please refer to Table 6
Table 6
State domestic product (Current Prices) 2010-11
State 2010-11 ( US $ Billion )
Maharashtra 205.9
Uttar Pradesh 117.7
Andhra Pradesh 113.5
Tamil Nadu 109.5
Karnataka 79.8
Rajasthan 60.7
Delhi 51.8
Haryana 51.6
India's Expected Gold Imports 2011-12 (US $ Billion) 50.0
Punjab 44.3
Bihar 42.6
Orissa 37.3
India's Gold Imports 2010-11 (US $ Billion) 33.9
Chhattisgarh 25.9
Jharkhand 21.3
Assam 20.8
Uttarakhand 15.5
Himachal Pradesh 10.5
Jammu & Kashmir 9.5
Chandigarh 4.1
Tripura 3.3
Meghalaya 2.9
Puducherry 2.6
Manipur 1.8
Sikkim 1.1 Source: State GDP figures taken from CSO
Gold Import figures taken from RBI
Exchange Rate is taken as Rs 50
Centre and States Expenditure vis--vis Gold Imports
A look at the Budget Estimates of some of the key Development
and Non-
development expenditures shows that it is only in education
where the budgetary
allocation is more than that of the gold import value for the
year 2010-11.
Please refer to Table 7
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Table 7
Centre and States Budgeted Expenditure
Expenditure 2010-11 (US $ Billion)
Education, art & culture 46.23
India's Gold Imports 2010-11 (US $ Billion) 33.9
Medical & public health and water supply &
sanitation 16.44
Food Subsidy 11.70
Social security & welfare(P) 11.12
Fertiliser subsidy 10.00
Urban development 7.09
Housing 4.09
Family welfare 2.89
Posts & Telecommunications 0.11 Source: Development and
Non-Development Expenditure taken from Ministry of Finance
Gold Import figures taken from RBI
Exchange Rate is taken as Rs 50
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IV. High Levels of Gold Imports, Is it Sustainable??
In the present Section, we have examined Gold Import trends
since Import Liberalization
between 1999-00 to 2010-11. Thereafter we have tried to estimate
Gold import trends under
two projection scenarios. Scenario I: where we assume that Gold
Imports will continue in the
same compound annual growth rate as latest twelve years from
1999-00 to 2010-11. For
Scenario II, we assume Gold import share in GDP to remain
constant at 2010-11 level.
Scenario I: Worst case of Gold import
Gold import has been calculated on the basis of compound annual
growth rate of period 2010-11
over 1999-00. CAGR for the period calculated 21.02 per cent on
the basis of the Gold import
calculated from 2011-12 to 2015-16 and GDP projected figure has
been used from 12th
plan draft
report.
For this scenario, assuming the gold import bill increases on
the basis of CAGR rate the Gold
import bill will be approximately US $ 100 billion by
2015-16.
Please refer Table 8
Table 8
Comparison of Gold import with GDP at current price (US $
Billion)
Gold Import Bill Gross Domestic product
1999-00 4.2 450.5
2000-01 4.1 460.2
2001-02 4.2 477.8
2002-03 3.8 507.2
2003-04 6.5 599.5
2004-05 10.5 661.3
2005-06 10.8 765.6
2006-07 14.5 872.8
2007-08 16.7 1138.5
2008-09 20.7 1150.2
2009-10 28.6 1293.5
2010-11 33.9 1603.2
2011-12 41.0* 1796.2#
2012-13 49.6* 2056.6#
2013-14 62.6* 2354.8#
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2014-15 79.0* 2696.3#
2015-16 99.7* 3096.3# Source: RBI, CSO, Planning Commission
Note: * ASSOCHAM calculation on the basis of CAGR
#Planning commission calculation
Yearly Exchange Rates have been used uptil 2010-11, thereafter
exchange rate used is Rs 50
Looking at the recent upsurge in gold imports the projected
value seems to be conservative as the
average rate of growth during the period 2008-09 to 2010-11
stands at 26.8 percent.
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Actual Gold import and GDP
share
ProjectedGold import share in GDP at current
price
The graph indicates:
Given the trends of twelve years, a
similar projected trend shown an
alarming rise in Gold Imports.
Actual share in GDP shows an
increasing trend
Projected figures suggest an
even steeper increase.
Gold import and GDP share
increased from 0.9 per cent (1999-
00) to 2.1 per cent (2010-11) and on
the basis of projected figure the
share will be 3.2 per cent in 2015-
16.
At this rate Gold Imports should US
$ 100 Billion.
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Scenario II: Hopeful Trends
GDP figure as projected in Planning Commissions 12th plan draft
report have been used. The
actual share of gold imports witnessed in the year 2010-11, (2.1
percent of GDP) has been used
to calculate the projected gold import figures for the period
2011-12 to 2015-16.
Gold import in 2010-11 was approximate US $ 34 billion, which
was 2.1 per cent of
GDP.Freezing the share of Gold imports in GDP at this level,
Gold import should reach US $
65.4 billion in 2015-16.
Please refer Table 9
Table 9
Comparison of Gold import with GDP at current price (US $
Billion)
Gold Import Bill Gross Domestic product
1999-00 4.2 450.5
2000-01 4.1 460.2
2001-02 4.2 477.8
2002-03 3.8 507.2
2003-04 6.5 599.5
2004-05 10.5 661.3
2005-06 10.8 765.6
2006-07 14.5 872.8
2007-08 16.7 1138.5
2008-09 20.7 1150.2
2009-10 28.6 1293.5
2010-11 33.9 1603.2
2011-12 38.0* 1796.2#
2012-13 43.5* 2056.6#
2013-14 49.8* 2354.8#
2014-15 57.0* 2696.3#
2015-16 65.4* 3096.3# Source: RBI, CSO, Planning Commission
Note: * ASSOCHAM calculation
#Planning commission calculation
Yearly Exchange Rates have been used uptil 2010-11, thereafter
exchange rate used is Rs 50
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At these levels, Indias Gold imports would be huge burden as the
balance of payment and
creates unsustainable presser on current account.
On the other hand, this represents a massive stain in the
countries investable resources. Weaning
away domestic savings from Gold investment would assume
important from this prospective
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ProjectedActual Gold import and
GDP shareGold import share in GDP at current
price
The graph indicates: Actual share
in GDP shows an increasing trend
and from 2011-12 to 2015-16
showing flat because the import of
gold calculated on the basis of fixed
share to GDP.
Freezing 2.1 per cent share would
yet mean Gold Imports US $ 65.4
billion by 2015-16, as the GDP rises
by planning commission projection.
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V. Issue
The foreign exchange resource that is used to import gold
reduces the availability of this
free exchange to finance the import of other commodities.
Even the RBI in its review of macroeconomic situation has said
Current Account Deficit is a
cause of concern because of inelastic gold and oil demand.
Chart 1 depicts the impact of gold imports on the current
account balance position. The chart
clearly shows that due to the high value of gold imports the
current account deficit gets
accentuated , whereas had there been no gold imports then in
that case not only would have been
the current account balance been much better but also there
would have been current account
surpluses for year 2004-05 right until 2007-08. (Also see
Appendix 1)
Chart 1
Impact of gold on Indias Current Account Balance
Recently with the government increasing the import and excise
duties on gold and silver means
that both these commodities are set to cost more. The new duty
structure would be based on
-50000
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-30000
-20000
-10000
0
10000
20000
30000
US
$ M
illi
on
CAB without Gold CAB with Gold
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22
value, not a fixed rate. The new rates (on ad valorem basis)-
two per cent on 10 gm gold and six
per cent on one kg silver, mean that importers will have to pay
double the duty.
This move made by the government is also targeted to address the
issue of reducing dollar
outflows due to gold imports, which are hurting the current
account.
However, looking at the pattern of gold consumption in India and
the numerous factors that
motivate people and institutions as indicated in the study
earlier to seek gold investments it
seems that just raising the import duties alone will not have
the desired result of bringing down
gold demand.
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VI. Possible Way Out
What is required is to address the larger issue which is to
encourage the substitution gold
purchases with alternate investment options available in the
financial sector which shall also
help in increasing the productive capacity of the economy.
In order to achieve this objective some of the initiatives that
can be taken are:
A. Increase the reach of Banks - growing demand for gold
purchases in the country is an
indication that households with high levels of savings are
looking at options available to
invest their savings. As per a World Gold Council Report5 India
has one of the highest
saving rates in the world; estimated at around 30 percent of
total income, of which 10
percent is invested in gold. Therefore it is important that the
financial sector taps into this
huge saving reserve.
This is particularly true for the rural areas where according to
the same World Gold
Council Report only 21 percent of rural India had access to
formal financial sources.
Therefore lack of availability of alternate avenues of
investment that might be resulting in
heavy gold purchases. KaratBars International serves as today's
perfect alternate avenue.
B. Innovative means of alternate investments must be considered
- It must be understood
that it is easier for a rural person to buy gold jewellery than
opening a deposit account in
a bank, due to various documentary formalities that are
required. In the competitive
environment, banks have to contend with the transaction cost
associated with servicing
retail deposits and credit accounts.
The government can make use of its vast network of post offices
in order to delivering
financial services to the otherwise excluded sections.
5 India: heart of gold Revival, World Gold Council
Section VIII below provides our best option: KaratBars
International.
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C. Liquidity quotient of alternate investment instruments - a
prime reason behind
increased gold purchase is its liquidity aspect, that is in case
an individual requires money
he can immediately sell his gold for cash. This is usually not
the case with other financial
products as redeeming them usually takes time. Information
technology could play an
important role in facilitating retail banking in rural areas.
However, in rural areas low
level of technology penetration coupled with low levels of
literacy are a major obstacle
for enhancing the outreach of IT enabled banking services. In
this context, there is a need
to recognize the role of fiscal empowerment relating to spending
on social sector such as
education.
D. Massive education campaign must be launched to create
awareness amongst the
public at large as to how unnecessary piling of gold stocks with
households is not only
adversely impacting the current account position of the economy
but also what it is doing
is increasing the level of black money circulation in the
economy. This is happening
because the purchase and sale of gold is being done in cash
thereby hurting the
government on two fronts. Firstly, the purchasing gold against
cash gives an individual
an opportunity to convert his black money into white. Secondly,
the cash received by the
seller also remains undeclared and thereby no tax will be paid.
On top of this the gold
imports are being financed by the hard earned foreign exchange.
Therefore it is
imperative for the government to educate the citizens of the
country about the adverse
impact of rising gold imports.
The government can also consider introducing highly liquid
across the
counter instruments with the government guaranting buybacks. ,
e.g.: KaratBars
International.
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Appendix
INDIA'S BALANCE OF PAYMENTS (US $ Million)
Year Merchandise Exports Merchandise Imports Trade balance
Invisibles Current account
2000-01 45452 57912 -12460 9794 -2666
2001-02 44703 56277 -11574 14974 3400
2002-03 53774 64464 -10690 17035 6345
2003-04 66285 80003 -13718 27801 14083
2004-05 85206 118908 -33702 31232 -2470
2005-06 105152 157056 -51904 42002 -9902
2006-07 128888 190670 -61782 52217 -9565
2007-08 166162 257629 -91467 75731 -15737
2008-09 189001 308521 -119520 91605 -27915
2009-10 182235 300609 -118374 79991 -38383
2010-11 250468 380935 -130467 86186 -44281
Source: RBI
INDIA'S BALANCE OF PAYMENTS EXCLUDING GOLD IMPORT
(US $ Million)
Year Merchandise Exports Merchandise Imports Trade balance
Invisibles Current account
2000-01 45452 53790.4 -8338.4 9794 1455.6
2001-02 44703 52106.6 -7403.6 14974 7570.4
2002-03 53774 60619.1 -6845.1 17035 10189.9
2003-04 66285 73486.1 -7201.1 27801 20599.9
2004-05 85206 108370.3 -23164.3 31232 8067.7
2005-06 105152 146225.5 -41073.5 42002 928.5
2006-07 128888 176208.1 -47320.1 52217 4896.9
2007-08 166162 240905.4 -74743.4 75731 987.6
2008-09 189001 287795.4 -98794.4 91605 -7189.4
2009-10 182235 271968.9 -89733.9 79991 -9742.9
2010-11 250468 347059.3 -96591.3 86186 -10405.3
Source: RBI
-
THE BUSINESS OPPORTUNITY OBJECTIVE Earn passive, residual income
while accumulating gold
Gold (1) gram Karatbar Card
CONSIDER ALL OF THE FOLLOWING...
Most customers when looking to BUY Gold, ANY gold, usually deal
with RETAIL. All they typically see or know to compare is
price.
Some retail companies may give them a special discount for a
purchase. But it's still retail without other financial rewards.
When the deal is done, IT'S ALL DONE.
Most dont know or understand all the features and benefits
included in KARATBARS, and may jump to conclusions. They don't know
or want to know! For many, it may not be that important to them.
But for those who are real opportunity seekers, this is a GOLDEN
OPPORTUNITY a once in a lifetime program
WHY? Because they have NEVER been exposed to anything like this
before. KARATBARS is a Category-Creator. NO one is doing what
Karatbars is doing globally.
So LOGICALLY, without some explanation, someone may ASSUME that
Karatbars is in some kind of "BAKE SALE" and simply include it with
other "gold" companies. It's LOGICAL...But INVALID.
So, why should one NOT look at only price to make an accurate,
informed complete comparison?
Karatbars has the lowest price for their gold category. Compare
BMW to BMW, not Ford to BMW. Google: kinebar grade 1 gram gold.
But before we get into all the reasons why owning a 1-gram
Karatbar makes far more sense in this economy than owning a 1-ounce
bar-even though the same amount of gold may be lower in price-lets
compare prices of several 1-gram bars:
As of mid-February, 2012, when $1 (USD) exchanges for 1.32 Euro,
the price of a 1-gram Karatbar is approximately $78. It's not what
it costs; it's what the market says it's worth. Cost and worth are
two different things, much like an acre of land on theU.S west
coast in Malibu is worth more than an acre of land in Iowa.
Karatbars is "prime real estate": It costs less than comparable
1-gram gold bullion bars of this quality; it resells for more; and
it holds its value out of the vault.
POINT #1
KARATBARS are private issue (produced by a private refinery and
mint and exclusive to Karatbars) 999.9% 24-carat Gold Bullion...
NON-sizable under the current International Bullion Laws and U.S.
Law.
Gold coins that have minted and issued from any government can
be recalled to issuer (the government). All gold from Karatbars is
privately issued and CANNOT be confiscated by any so-called
authority.
Karatbars gold is Private Issue bullion, 999.9% Fine Gold, each
Karatbar weighs in at 1.01 grams
Transactions are completed offshore, gold is vaulted offshore,
and all transaction records belong to Karatbars
Karatbars carry the LBMA certification from the Atasay Refinery
which lends them to be "Good for Settlement of Debt"
http://lbma.org.uk/pages/index.cfm
You, as an Affiliate, are responsible to report any earnings to
the local authorities(country, state, etc), (Terms &
Conditions).
26
VIII. KARATBARS INTERNATIONAL : INDIA'S SOLUTION
-
Karatbars DOES NOT REPORT to any Affiliate earning to any
government body.
Karatbars is an Offshore E-Commerce company with an Affiliate
marketing program.
Karatbars does not apply to the FTC (NOT an MLM) or the BBB
(Domestic Rating Agency), all are which come under U.S. government
jurisdiction, or any other jurisdiction not held under the
International Bullion Laws.
Karatbars does not apply to the Securities Exchange
Commission(SEC), since gold is not considered a financial
instrument (paper)
Karatbars does not give legal, tax, or investment advice and all
Affiliates should not either.
Karatbars falls under the International Bullion Laws set forth
by the World Trade Organization under the Harmonious Tax Code.
ANY and ALL gold purchases and gold coin purchases that are done
in USA are RECORDED. The U.S. government knows exactly who has
what. Most coins are PURE gold on the ALLOY Standard - 91.9% -
because 24-carat is too soft. You do not actually OWN any
government-issued coins; you are merely THE BEARER of the coins.
Governments in financial duress can "recall" gold coins and only
pay bearer FACE VALUE only. Ask yourself this: "Where do you think
the U.S. governmentis going get the gold to restock THEIR
shelves?"
Karatbars ingots weigh in at 1.01 grams, above the legal limit
if a country tries to exercise a VAT Tax on 1-gram bars. We have a
niche market of transaction-friendly weights which make it a viable
form of payment and exchange, under ALL economic circumstances, in
ALL countries.
Karatbars accounts are private and SECURE, more so than the
FDIC, CDIC, or ANY gold sales in the USA or Canada.
100% of all funds you deposit into your Karatbars account are
used to buy gold bullion. There are no extra fees
Karatbars does not report any Customer transactions under
$10,000 to any government agency in any country. And Karatbars does
NOT ask for a Social Security Number (SSN) or Social Insurance
Number (SIN). Your identity is kept confidential for your account
as long as you are NOT charged and convicted with money-laundering,
involved in drug trafficking, or other international crimes under
the U.S. Patriot Act.
All transactions are ledgered by username and account number.
When verified by German authority auditors, you only need to verify
your account number, deposit, and whether the deposit was
transferred into physical gold and transferred to the vaultor
shipped to you, the Customer. Germany is possibly the toughest
country in the European environment in which to do business.
Karatbars International is an offshore (Germany) e-commerce
company with an optional Affiliate Marketing program. Karatbars
International is NOT governed by the USA. It is on the same level
of trade existence that the U.S. government uses when dealing with
any other country.
We merely have our own personal Karatbars accounts, and we can
refer others to get their own private Karatbars account. We do not
sell financial paper instruments, nor does Karatbars. Affiliates do
not sell gold; Karatbars does, OFFSHORE. SOME licensed gold
resellers do resell Karatbars. Only Karabars account holders can
make referrals, and we are rewarded for referring others. New
Account holders can get a Karatbars account only by being referred
by a Karatbars Affiliate account holder.
Although we resemble a leveraged type of marketing structure, we
are NOT considered MLM in any country. Karatbars is an e-commerce
Affiliate business model. Our Compensation Plan pays out only when
paper money is exchanged into gold money. That's it. There are NO
enrollment fees, etc.
27
-
Karatbars in 1-gram weights have many more benefits than gold in
1-ounce weights. They are both gold, but it's like comparing an
apple to a rock! You CANNOT compare by price. The features and
benefits are simply too far apart.
USE GOLD TO BUY GOODS AND SERVICES, NOT AS AN INVESTMENT!
The majority of those who look at gold will ALWAYS start by
comparing price, thinking the only reason to own gold would be as
an investment. It is not. They do not understand that one ounce of
gold is one asset class, and one gram of gold is a totally
different asset class, even though they are both gold. Even though
they are both gold, the benefits of owning a gram of gold compared
to owning an ounce of gold are significant. Karatbars is about
owning 1-gram gold bullion ingots that you could use as a form of
exchange, much like you use paper money and credit/debit cards. It
would be much more difficult doing that with larger weights of gold
and certainly not with a 1-ounce gold coin. Following are things to
consider when buying gold:
IS IT REAL? KARATBARS CANNOT BE COUNTERFEITED
Gold can and is being counterfeited. In order to know the gold
is not fake, one must sell that gold to a gold dealer who has
thetools to confirm it is pure. With Karatbars, ANY merchant who is
taught what to look for with the naked eye can quickly and easily
determine that it is not fake because every Karatbars has:
The stamp of the London Bullion Market Association(LBMA) Atasay
Refinery on the gold.The signature of the Atasay Refinery's Assayer
on the card.An embossed serial number that is unique to that
particular Karatbar.The Refinery's unique hologram covering the
entire back of the gold.You want to own 1-gram Karatbars so that
your gold does not need to be sold and converted back to paper
money in order to get some future use out of them.
BUY-BACK PRICEWith all weights of gold there is a buy-back price
that's less than the sell price. With Karatbars there are MANY more
optionsavailable than simply selling them back.Use them to buy
goods and services from the many Merchants who accept them as
payment.Post them in the Karatbars Member Marketplace at or near
the Karatbars daily posted retail price.List them in any of the
many Karatbars Affiliate chat rooms to sell at or near the current
retail price.Sell back to Karatbars at a higher price than you
would get from any gold dealer.Only Karatbars allows one to find a
way to get at or near the current day's retail value when ready to
dispose of some.
NO NEED TO USE MORE THAN IS NECESSARYIf you own an ounce of
gold, and need only a few hundred dollars, you will need to sell
the whole ounce. If you have high inflation, you will want to leave
as much as possible in gold. The inconvenience of finding a dealer
willing to give you a fair price without having to stand in line
etc., is something to consider as well. Karatbars (1-grams)
eliminates the need to convert to cash or use more than is required
at that time. You cannot chip off a piece from an ounce and expect
anyone to give you just that amount in paper cash or goods and
services.
THE MASSES CANNOT AFFORD TO BUY IN LARGE AMOUNTSKaratbars bring
gold to the masses. Almost everyone can afford to pay approximately
$65 at a time (weekly or monthly, whatever your budget can
afford).
EARN FREE GOLDAnyone, without ANY fees or costs, is able to
introduce others to Karatbars and earn a commission. Yes, you can
buy 100 grams of gold or an ounce if you choose. But why not, with
very little effort, introduce others and have your gold bought
withcommissions earned?
28
POINT #2
-
Produced by an LBMA-certified "good delivery" refinery. See
http://LBMA.org.uk (Click on "Good Delivery " tab / Gold List.
Scroll down to Turkey. Click "Atasay..."), Karatbars are good for
"settlement of debt" worldwide. Do not take the LBMA-certification
lightly: It takes 3 years of zero issues for a refinery to get
LBMA-certified. Our Karatbars cannot be counterfeited, and are
verifiable by obvious and instant inspection.
Free storage abroad, in various geographic locations.
Low-cost shipping (about $24 for up to 100 grams) if you want
your Karatbars delivered to you. Or you can have them moved to your
own vault for an additional fee of approximately 2/10ths of a Euro
per gram. Our company subsidizes the portion of the shipping cost
that ensures the shipment reaches the Customer's designated
destination.
One insurance is through SecurLog, as they record on video every
single packaging for delivery and the actual card numbers, etc.
sealed. And SecurLog has their own private insurance company. Plus,
SecurLog has their own on-site Insurance. They are recognized by
the World Gold Council, one of the largest in thegold industry.
Once your Karatbars leave the company's hands, they are
double-insured by both Karatbars and SecurLog. They are shipped via
FedEx. Large deliveries are done by G4S, the largest global armored
delivery company in the world.
The extremely high affiliate marketing internal payout (14.5% on
the 100 gram Purchase Plans) allows Karatbars International to
prepare for infrastructure labor and expansion. On one-time
purchases, payout is 5.5%.
We have "Green Gold: Karatbars Green Technology Extraction
Process uses NO mercury or cyanide. This makes them a serious
TACTICAL PLAYER for gold production globally.
We are recommended by Bund de Sparer, a German independent
consumer watchdog
organization:http://www.bds-deutschland.de/a/index.php/empfehlungen/silber-und-gold-anlagen/515-karatbars
All Purchase Plan Agreements (agree to buy 100 grams over an
open-ended timeframe) have a 4-stage process. There are no
chargebacks. And there is even a buy-back for any purchase plan
cancellations.
Karatbars are stored in vaults, not in circulation or around
circulation like a savings deposit vault of a regular bank. They
are NOT held as collateral for something else like a prime funding
venture or anything like that. If for some reason you cannot fully
trust an offshore account then get your Karatbars delivered
directly as a one-time purchase, right now.
Gold deposits are stored in large bars until ready to be minted
into card denominations of your choice (1 gm, 2.5 gm, 5 gm ingot
cards).
Understand: To exchange into gold is one thing; to exchange out
of gold is another. Karatbars is the simple, no-nonsense, worldwide
solution to a full-presence answer to both types of exchanges.
Karatbars offers a multi-faceted EXIT strategy unlike any other
gold source.
Karatbars International will buy back your Karatbars with the
guaranteed best buy-back price.
You can sell to other Karatbars Customers or Affiliates.
Use Karatbars to buy goods and services within the Acceptance
Points Network (merchants). Soon, we will be able to exchange
fractions of a gram online, not using the cards.
Other major financial institutions see us a reliable financial
partner; for example, The Vatican bought and branded 100 kilograms
of our gold and branded it with our Karatbars. NO ONE can doubt
that the Vatican is a major financial giant worldwide. The Vatican
doesn't get involved with hokey companies at all. Period.
This is a great program to introduce to churches, organizations
and non-profits to help them raise funds! Just think; their members
can provide revenue to the organization by ordering Karatbar cards
for their own savings plan .. brilliant! The members save and the
organization gets revenue!
29
POINT #3KaratBars Gold has ALL ther bells and whistles on it in
its standard feature.
-
We have made many presentations and expect to produce more
Affinity Cards like the Pope cards. Queen Elizabeth, Virgin
Airways, Football Teams, Hip-Hop artists, several churches and more
are considering a private labelled Karatbar for themselves. We are
just getting started.
Pope John Gold Karatbar Card (1) gram
Remember: EARNING FREE GOLD is better than buying it at ANY
discount.
Gearing Up for the Next Big Gold Boom ..
http://investmentu.com/latest-research/report/next-gold-boom.html
THIS PROGRAM IS GOING TO BE A GAME CHANGER! NOTHING ELSE LIKE
IT!
Why Karatbars?CONSIDER ALL OF THE FOLLOWING...
Most customers when looking to BUY Gold, ANY gold, usually deal
with RETAIL. All they typically see or know to compare is
price.
Some retail companies may give them a special discount for a
purchase. But it's still retail without other financial rewards.
When the deal is done, IT'S ALL DONE.
And without knowing all the features and benefits included in
KARATBARS, they may jump to conclusions. They don't know. For many,
it may not be that important to them. But for those who want the
facts will get them.
WHY? Because they have NEVER been exposed to anything like this
before. KARATBARS is a Category-Creator. NO one is doing what
Karatbars is doing globally.
So LOGICALLY, without some explanation, someone may ASSUME that
Karatbars is in some kind of "BAKE SALE" and simply include it with
other "gold" companies. It's LOGICAL...But INVALID.
So, why should one NOT look at only price to make an accurate,
informed complete comparison?
Karatbars has the lowest price for their gold category. Compare
BMW to BMW, not Ford to BMW. Google: kinebar grade 1gram gold.
But before we get into all the reasons why owning a 1-gram
Karatbar makes far more sense in this economy than owning a 1-ounce
bar-even though the same amount of gold may be lower in price.
Lets compare prices of several 1-gram bars:
30
-
Prices for KARATBARS - Apples to Apples
When you're thinking about the price of KARATBARS gold
bullionand you somehow come to the conclusion that the prices are
too high,you haven't compared apples to apples. It's like this: A
Chevy Cavalier is a car just like a Corvette is a car. Bottom line
is they're both cars. But the fact is one costs more, is worth
more, and retains its value better.
Comparing Prices With KARATBARS Gold Bullion
The first thing in comparing prices of ANY commodity is
understanding that you must do an apples-to-apples comparison. For
example, if you are going to buy a pint of milk you must compare
the price with other single pints of milk.
What you DON'T do is find the best price for a GALLON of milk
(which, for the sake of discussion, lets say is $4) and then divide
$4 by 8 pints (which is 50 cents per pint), and then compare that
price to buying a single pint. We all understand what it means to
buy in bulk. As with any product, there is what is commonly called
volume discounts. The reason bulk prices are less per ounce is very
simple: there is more labor cost to produce several units verses
one unit, but the flexibility of use benefits are significant with
1-gram gold over larger weights.
To get an accurate price comparison (not taking into
consideration the MANY benefits that come with owning a flexible
transaction-friendly 1-gram Karatbar), you cannot take the spot
price for an ounce of gold and divide it by 31.1. (There are
roughly 31.1 grams per troy ounce of gold.) And you cannot take a
gram price and multiply it by 31.1. You must price Karatbars gold
bullion by the gram against other similar-quality gold that's sold
by the gram to make an accurate comparison.
Is The Price of KARATBARS Gold Bullion In Line With What's Out
There?
With gold and silver, you pay more for smaller weights
regardless of your source. Just like you pay more for 1 can of soda
or beer than you would pay for a case of 24 cans. The more you buy,
the better price you get.
If you want to be accurate and compare apples to apples, ask
your broker what his/her price is for a 999.9-grade 1-gram gold
bullion produced by an LBMA-certified refinery? No one can touch
Karatbars price! Karatbars has consistently maintained a2-4% better
price. Even if a broker could match or beat Karatbars prices, will
they give you free gold for referring others?!? Ithink not. And all
require you to buy many 1-gram bars even if you only want to buy
one and although they may advertise they can deliver, they are
often out of stock or cannot actually deliver gold in one gram
weights.
Check the prices and compare for similar quality and same
currency:
Swiss PAMP Gold Bar - Weight 1 Gram
UBS Gold (Kinebar) - Weight 1 Gram
KARATBARS - Weight 1 Gram
KB's program is NOT for traders. It is for savers and many ask
"what does it cost"? This is a poverty mentality because a wealthy
mentality asks "what is it worth"!
31
-
As of mid-February, 2012, when $1 (USD) exchanges for 1.32
Euros, the price of a 1-gram Karatbar was approximately $78. It's
not what it costs; it's what the market says it's worth. Cost and
worth are two different things, much like an acre of land on the
U.S west coast in Malibu is worth more than an acre of land in
Iowa. Karatbars is "prime real estate": It costs less than
comparable 1-gram gold bullion bars of this quality; it resells for
more and it holds its value out of the vault.
POINT #1
KARATBARS are private issue (produced by a private refinery and
mint and exclusive to Karatbars) 999.9% 24-carat Gold Bullion...
and are not subject to seizure under the current International
Bullion Laws and U.S. Law.
Gold coins that have minted and issued from any government can
be recalled to issuer (the government). All gold from Karatbars is
privately issued and CANNOT be confiscated by any so-called
authority.
Karatbars gold is Private Issue bullion, 999.9% Fine Gold, each
Karatbar weighs in at 1.01 grams
Transactions are completed offshore, gold is vaulted offshore,
and all transaction records belong to Karatbars
Karatbars carry the LBMA certification from the Atasay Refinery
which lends them to be "Good for Settlement of Debt"
http://lbma.org.uk/pages/index.cfm
ANY and ALL gold purchases and gold coin purchases that are done
in USA are RECORDED. The U.S. government knows exactly who has
what. Most coins are PURE gold on the ALLOY Standard - 91.9% -
because 24-carat is too soft. You do not actually OWN any
government-issued coins; you are merely THE BEARER of the coins.
Governments in financial duress can "recall" gold coins and only
pay bearer FACE VALUE only. Ask yourself this: "Where do you think
the U.S. government is going get the gold to restock THEIR
shelves?"
Karatbars ingots weigh in at 1.01 grams, above the legal limit
if a country tries to exercise a VAT Tax on 1-gram bars. We have a
niche market of transaction-friendly weights which make it a viable
form of payment and exchange, under ALL economic circumstances, in
ALL countries.
Karatbars accounts are private and SECURE, more so than the
FDIC, CDIC, or ANY gold sales in the USA or Canada.
100% of all funds you deposit into your Karatbars account are
used to buy gold bullion. There are no extra fees.
Karatbars does not report any Customer transactions under
$10,000 to any government agency in any country. And Karatbarsdoes
NOT ask for a Social Security Number (SSN) or Social Insurance
Number (SIN). Your identity is kept confidential for your account
as long as you are NOT charges and convicted with money-laundering,
involved in drug trafficking, or other international crimes under
the U.S. Patriot Act.
All transactions are recorded by username and account number.
When verified by German authority auditors, you only need to verify
your account number, deposit, and whether the deposit was
transferred into physical gold and transferred to the vaultor
shipped to you, the Customer. Germany is possibly the toughest
country in the European environment in which to do business.
Karatbars International is an offshore (Germany) e-commerce
company with an optional Affiliate Marketing program. Karatbars
International is NOT governed by the USA. It is on the same level
of trade existence that the U.S. government useswhen dealing with
any other country.
POINT #2
Karatbars in 1-gram weights have many more benefits than gold in
1-ounce weights. They are both gold, but it's like comparing an
apple to a rock! ** **You CANNOT compare by price. The features and
benefits are simply too far apart.
32
-
USE GOLD TO BUY GOODS AND SERVICES, NOT AS AN INVESTMENT!
The majority of those who look at gold will ALWAYS start by
comparing price, thinking the only reason to own gold would be as
an investment. It is not. They do not understand that one ounce of
gold is one asset class, and one gram of gold is a totally
different asset class, even though they are both gold. Even though
they are both gold, the benefits of owning a gram of gold compared
to owning an ounce of gold are significant. Karatbars is about
owning 1-gram gold bullion ingots that you could use as a form of
exchange, much like you use paper money and credit/debit cards. It
would be much more difficult doing that with larger weights of gold
and certainly not with a 1-ounce gold coin. Following are things to
consider when buying gold:
IS IT REAL?** ** KARATBARS CANNOT BE COUNTERFEITED
Gold can and is being counterfeited. In order to know the gold
is not fake or counterfeit, one must sell that gold to a gold
dealer who has the tools to confirm it is pure. With Karatbars, ANY
merchant who is taught what to look for with the naked eye can
quickly and easily determine that every Karatbars is not a fake
because it has:
The stamp of the London Bullion Market Association (LBMA) Atasay
Refinery on the gold.
The signature of the Atasay Refinery's Assayer on the card.
An embossed serial number that is unique to that particular
Karatbar.
The Refinery's unique hologram covering the entire back of the
gold.
You want to own 1-gram Karatbars so that your gold does not need
to be sold and converted back to paper money in order to get some
future use out of them.
BUY-BACK PRICE
Withal weights of gold there is a buy-back price that's less
than the sell price. With Karatbars there are MANY more options
available than simply selling them back.
Use them to buy goods and services from the many Merchants who
accept them as payment.
Post them in the Karatbars Member Marketplace at or near the
Karatbars daily posted retail price.
List them in any of the many Karatbars Affiliate chat rooms to
sell at or near the current retail price.
Sell back to Karatbars at a higher price than you would get from
any gold dealer.
Only Karatbars allows one to find a way to get at or near the
current day's retail value when ready to dispose of some.
NO NEED TO USE MORE THAN IS NECESSARY
If you own an ounce of gold, and need only a few hundred
dollars, you will need to sell the whole ounce. If you have high
inflation, you will want to leave as much as possible in gold. The
inconvenience of finding a dealer willing to give you a fair price
without having to stand in line etc., is something to consider as
well. Karatbars (1-grams) eliminate the need to convert to cash or
use more than is required at that time. You cannot chip off a piece
from an ounce and expect anyone to give you just that amount in
paper cash or goods and services.
THE MASSES CANNOT AFFORD TO BUY IN LARGE AMOUNTS
Karatbars bring gold to the masses. Almost everyone can afford
to buy $65 at a time.
33
-
Karatbars are stored in vaults, not in circulation or around
circulation like a savings deposit vault of a regular bank. They
are NOT held as collateral for something else like a prime funding
venture or anything like that. If for some reason you cannot fully
trust an offshore account then get your Karatbars delivered
directly as a one-time purchase, right now.
Gold deposits are stored in large bars until ready to be minted
into card denominations of your choice (0.5 gram, 1 gm, 2.5 gm, and
5 gm ingot cards. Until Karatbars has expanded to every country we
can possibly be in, we only offer 1-gram ingot cards.
Understand: To exchange into gold is one thing; to exchange out
of gold is another. Karatbars is the simple, no-nonsense, worldwide
solution to a full-presence answer to both types of exchanges.
Karatbars offers a multi-faceted EXIT strategy unlike any other
gold source.
Karatbars International will buy back your Karatbars with the
guaranteed best buy-back price.
You can sell to other Karatbars Customers or Affiliates. Use
Karatbars to buy goods and services within the Acceptance Points
Network(merchants). Soon, we will be able to exchange fractions of
a gram online, not using the cards.
Other major financial institutions see us a reliable financial
partner; for example, The Vatican bought and branded 100 kilograms
of our gold and branded it with our Karatbars. NO ONE can doubt
that the
Vatican is a major financial giant worldwide. The Vatican
doesn't get involved with hokey companies at all, Period.
We have made many presentations and expect to produce more
Affinity Cards like the Pope cards. Football Teams, Hip-Hop
artists, several churches, an Airline, and more are considering a
private labeled Karatbar for themselves. We are just getting
started.
Remember: EARNING FREE GOLD is better than buying it at ANY
discount.
POINT #3
Karatbars Gold has ALL the bells and whistles on it in its
standard feature.
Produced by an LBMA-certified "good delivery" refinery. See
http://LBMA.org.uk (Click on "Good Delivery tab / Gold List).
Scroll down to Turkey. Click "Atasay..."), Karatbars are good for
"settlement of debt" worldwide. Do not take the LBMA-certification
lightly: It takes 3 years of zero issues for a refinery to get
LBMA-certified. Our Karatbars cannot be counterfeited, and are
verifiable by obvious and instant inspection.
Free storage abroad, in various geographic locations.
Low-cost shipping (about $20 for 40 grams) if you want your
Karatbars delivered to you. Or you can have them moved to your own
vault for an additional fee of approximately 2/10ths of a Euro per
gram. Our company subsidizes the portion of the shipping cost that
ensures the shipment reaches the Customer's designated
destination.
One of the insurance is through SecurLog, as they record on
video every single packaging for delivery and the actual card
numbers, etc. sealed. And SecurLog has their own private insurance
company. SecurLog has their own on-site Insurance. They are
recognized by the World Gold Council, one of the largest in the
gold industry. Once your Karatbars leave the company's hands, they
are double-insured by both Karatbars and SecurLog. They are shipped
via FedEx. Large deliveries are done by G4S, the largest global
armored delivery company in the world.
The extremely high affiliate marketing internal payout (14.5% on
the 100 gram Purchase Plans) allows Karatbars International to
prepare for infrastructure labor and expansion. On one-time
purchases, payout is 5.5%.
We have "Green Gold: Karatbars Green Technology Extraction
Process uses NO mercury or cyanide. This makes them a serious
TACTICAL PLAYER for gold production globally.
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We are recommended by Bund de Sparer, a German independent
consumer watchdog
organization:http://www.bds-deutschland.de/a/index.php/empfehlungen/silber-und-gold-anlagen/515-karatbars
Emory Miles
www.SecureYourOrder.com
[email protected]
www.karatbars.com/shop/?s=kingmidas
www.karatbars.com/k-exchange/?s=kingmidas
Karatbars International GmbH
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Indias_Gold_Rush_Its_Impact_and_Sustainability(3).pdfKARATBARS
STORY.pdf
