India Gold imports plunge during Jan-Sept: Assocham

INDIA October 14 2016 6:17 PM
MUMBAI (Scrap Register): India gold imports decreased 58.96 percent from 658 tons to 270 tons from January to September from 658 tons which were shipped during same period last year.

Customs duty of about 10 percent and strike by the jewelers is considered as the main reason for the decline in imports. Gold smuggling was seen on the higher side due to the customs duty hike.

India has been among the two biggest gold consumers in the world with average imports of more than 1,000 tons per annum reported in the recent past. Further, the industry body pointed-out that it expects gold prices to stay firm in the range of Rs30, 500-Rs 33,500 per 10 grams.

Gold prices are expected to remain firm in the backdrop of continuous global political and financial risks coupled with revival in demand in the domestic market. The prices have increased by about 25 per cent since January this year. Currently, gold prices range from Rs31000-Rs 31500 for 24 carat purity in major Indian cities.