India seizes record 60kg of gold in smuggling bust

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Indian police confiscated 60 kilograms of gold worth an estimated 165 million rupees ($2.65 million) at the Ahmadabad airport on Tuesday in the country's single biggest seizure of smuggled bullion, according to a local media report.

The gold, in the form of bars, was allegedly flown from Dubai to the city located in Gujarat on an Emirates flight, the Press Trust of India reported, citing a statement from the Special Operations Group of the city crime branch.

Six people were arrested in connection with the smuggling - three were on the flight and three had come to collect the contraband gold.

Gold smuggling is a long running issue in India, which reclaimed the top spot as the world's largest gold consumer last year. But the problem has become more acute in recent years due to government measures implemented to restrict imports of the yellow metal.

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The government has made it more expensive to import gold through a series of tax hikes since 2012, fueling imports through illegal channels. Gold is currently subject to a 10 percent import duty.

The World Gold Council estimates that 175 tonnes of gold were smuggled into the country last year, according to Reuters.

Indian smugglers have been known to go to great lengths to traffic gold, including hiding gold biscuits in the rectum, microwaves, cups and saucers, belt buckles, and even mixing gold dust with coffee powder.

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