You cannot save Indian custom duty by marking the parcel as a gift. You can ONLY gift up-to INR 10,000 worth of a single package and that too without a bill. The value of 10K is converted value after applying the relevant exchange rate. Also, postal charges or air freight or insurance are not taken into account to find the value of the product. If the value of the gifts received is more than INR 10,000, the receiver has to pay Customs duty on the whole consignment, even if the goods were received free.