icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm

India’s soaring demand for gold could boost price of precious metal

India’s soaring demand for gold could boost price of precious metal
The world’s second-biggest consumer of gold, India, ramped up imports of the metal by 471% from a year earlier to a record 160 tons in March, Reuters reported, citing a government source.

According to the source, the country purchased a record 321 tons of gold in the first quarter, up from 124 tons a year ago. In value terms, imports surged to $8.4 billion from $1.23 billion, the source said. 

Analysts predict that higher imports by one of the world’s top bullion consumers could support benchmark gold prices, which have corrected nearly 17% from an all-time high of $2,072 in August 2020. 

Imports grew after a reduction in taxes, and the correction in prices from record highs drew retail buyers and jewelers alike. In February, India slashed import duties on gold to 10.75% from 12.5% to boost retail demand and curtail smuggling. 

Also on rt.com India considers over $1 billion in cash incentives for every chip maker setting up in country – media

Jewelers started building inventories after seeing robust retail demand, said an unnamed Mumbai-based bullion dealer with a gold importing bank. “Throughout the month, gold was trading at a premium because of jewelry demand,” he was quoted by the agency as saying, adding that, in April, imports could fall below 100 tons, as jewelers were raising concerns that the government could impose a lockdown to stop the rise in Covid-19 infections.

For more stories on economy & finance visit RT's business section

Dear readers and commenters,

We have implemented a new engine for our comment section. We hope the transition goes smoothly for all of you. Unfortunately, the comments made before the change have been lost due to a technical problem. We are working on restoring them, and hoping to see you fill up the comment section with new ones. You should still be able to log in to comment using your social-media profiles, but if you signed up under an RT profile before, you are invited to create a new profile with the new commenting system.

Sorry for the inconvenience, and looking forward to your future comments,

RT Team.

Podcasts